In an effort to become more efficient and build better supplier relations, your manager, Jane Furman, has examined the company’s current practice of using eight different suppliers for eight different items and considered switching to a single supplier who would supply all eight items. However, she discovered that the new supplier will handle orders only on a fixed-interval basis. Write a one-page memo to Furman outlining the cost factors that might increase, and those that might decrease, along with a brief explanation for each factor, under the proposed system.
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