Supply Chains Strategic Importance

• MAKE OR BUY DECISIONS - It is a choice between producing a component or service in-house or purchasing it from an outside source.
• ACCESS TO NEW MARKET - Third-party providers often have established networks and relationships in other countries, which can be especially beneficial for companies that are looking to expand their operations into new regions.
• OUTSOURCING - It is a business practice in which a company contracts with a third-party service provider to perform tasks, functions, or processes that were previously handled in-house.
• COMPETITIVE ADVANTAGE - This can be achieved through the use of advanced technologies, strategic partnerships, and continuous improvement efforts.
• SUPPLIER DEVELOPMENT - is a strategic and collaborative approach taken by a buyer to improve the capabilities, performance, and long-term relationship with their suppliers.
• SUPPLY BASE - refers to the group of suppliers or vendors that a company relies on to provide goods and services.
• NEGOTIATIONS - refer to the process of reaching agreements or settlements between a buyer and its suppliers regarding various terms and conditions of their business relationship.
• COST-BASED PRICE MODEL - The contract price is then based on time and materials or on a fixed cost with an escalation clause to accommodate changes in the vendor’s labor and materials cost.
• COMPETITIVE BIDDING - is a process where multiple suppliers or contractors submit bids or proposals to compete for a project, contract, or sale of goods/services.
• Contracts are not designed to share risks, share benefits, and create incentive structures to encourage supply chain members to adopt policies that are optimal for the entire chain.

  FALSE
• THREE CLASSIC TYPES OF NEGOTIATION

  1. COST-BASED PRICE MODEL
  2. MARKET-BASED PRICE MODEL
  3. COMPETITIVE BIDDING
• It is defined as a set of multiple processes that facilitate the efficient movement of raw materials, goods, parcels, finished products, and freight from their point of origin through to their end customers.

  LOGISTICS MANAGEMENT
• E-PROCUREMENT


  - It reduces the traditional barrage of paperwork and, at the same time, provides purchasing personnel with an extensive database of supplier, delivery, and quality data.
• TYPES OF LOGISTICS

  SUPPLY CHAIN MANAGEMENT

  MATERIAL HANDLING AND DISTRIBUTION

  PRODUCTION MANAGEMENT

  CUSTOMER SERVICE MANAGEMENT

  REVERSE LOGISTICS MANAGEMENT
• SHIPPING SYSTEMA shipping system offers one or more solutions to improve compliance, reduce shipping costs, and become a valuable asset in the shipping process.
• SHIPPING SYSTEMS


  Offers one or more solutions to improve compliance, reduce shipping costs, and become a valuable asset in the shipping process.
• SHIPMENT TRACKING SOFTWARE


  Shippers can use tracking software to track shipments at every point during transportation.
• MANY SUPPLIERS


  This is widely adopted practice among global companies involves creating a competitive environment because in this case, one supplier plays against another supplier.
• SUPPLY CHAIN RISK


  It refers to the potential disruptions or negative impacts that can occur at any stage of the supply chain process, from raw material sourcing to production to distribution.
• TRUE


  Distribution management ethics focuses on fair, transparent, and lawful practices in distributing goods and services.
• The key metrics in measuring supply chain are cost, quality, delivery speed, reliability, and ability.

  FALSE
• ADVANTAGE OF WAREHOUSING

  IMPROVED EFFICIENCY AND PRODUCTIVITY

  SAFE AND SECURE STORAGE

  FLEXIBILITY

  COST SAVINGS

  ENHANCED STORAGE

  ORGANIZE