Strategies to Mitigate Risks from Supply Chain Disruptions

What to do when faced with delays and problems in the supply chain? The high volatility in purchase delivery forces decision-makers to adapt their supply chain strategies. Managers have fundamentally four options to respond. These four critical approaches are: 1) Increase inventory from just-in-time to just-in-case2) Find a second (or third) source of supply3) Reshore production to the US or to regional suppliers4) Leverage…

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Competive Advantage by Supplier

What is the role of SCM and Purchasing for innovation and competitive advantage? Today, many firms relegate SCM (incl. Purchasing) to a tactical level operating in a "silo." Because their mission is limited to one thing: efficiency in the way of low piece prices and operational cost. The result: The "pricing game!" Suppliers start high, buyers negotiate down, everyone gets a bonus, the price…

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