Southwestern Food Bank is a large nonprofit organization that secures government grant revenue and private donations to
Question:
Southwestern Food Bank is a large nonprofit organization that secures government grant revenue and private donations to purchase and redistribute bulk quantities of food for shipment to community centers, schools, homeless shelters, and disaster areas. You have reserved the conference room in their administrative offices for 2 hours starting at 10 a.m., but when you walk in, you see that the purchasing department at Southwestern Food Bank has left behind two large charts they were using during their earlier 8 a.m. meeting in the conference room:
A co-worker who is helping you set up for your 10 a.m. meeting looks at the charts and says, "Purchasing must have been having some kind of brainstorming session." "Something like that," you reply, because you recognize the two planning tools they were using earlier that morning. Please answer the following questions, based on these two charts.
a. Which of the spending categories has the purchasing department apparently identified as a priority, and now appears to be searching for a long-term, strategic supply chain partnership with another organization? Which organization do they consider the most promising candidate?
b. For which of the spending categories should the purchasing department focus most strongly on competitive bidding and award Southwestern Food Bank's purchases based on the lowest-cost bid, viewing these purchases as tactical decisions only?
c. If Acme Transport and ABC Trucking were bidding against each other in a con- tract with Southwestern Food Bank, which would be more likely to offer the lower price? Among the four companies mentioned on the second chart, which is most likely to ignore an invitation to bid on Southwestern Food Bank's business, seeing the opportunity as a nuisance?
Step by Step Answer:
