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Subject:
radical supply chain procurement change
Category: Business and Money > Consulting Asked by: jez_miles-ga List Price: $50.00 |
Posted:
26 Sep 2004 06:12 PDT
Expires: 27 Sep 2004 11:16 PDT Question ID: 406450 |
What are the main issues an organisation faces in implementing radical supply chain procurement change and how should they be addressed?" |
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There is no answer at this time. |
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Subject:
Re: radical supply chain procurement change
From: neilzero-ga on 27 Sep 2004 07:41 PDT |
Since there is no answer yet, I presume few can make a guess on the meaning of "radical supply chain procurement change" Long ago some companies had an officer with the title buyer. He interviwed salsmen who suggested systems, supplies, machines and materials. Multi sourcing and other diversification is good as your one supplier may raise the price, have a strike, file bankruptsey, discontinue your item or other problems. While even minor changes can prove more costly than expected, some changes are necessary to remain competitive with your competion. Diversity reduces the chance of radical change, which can be a disaster for your profit. Supply chain suggest transportation, which also needs to be diversified so you are not overly dependent on trucks, rail, Airborne, your bank, the internet, nor The US postal service. Neil |
Subject:
Re: radical supply chain procurement change
From: jez_miles-ga on 27 Sep 2004 10:01 PDT |
Neil - thanks for the comment. The question is asking what challenges a big company such as GM faces when transforming its supply chain and procurement strategy. You have point out some valid points such as the balance bewteen economies of scale through single sourcing and the associated risks when all your eggs are in one basket (what happens when there is a strike for example)? I am looking for a fairly in depth analysis of issues and mittigations for supply chain / procurment transformation. Thanks. Jez. |
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