Bloomberg SPLC $\_$ Supplier Analysis

Bloomberg SPLC function offers industry$-$leading insight into a company$$s supply chain relationships. Supply$-$chain data helps uncover money flows between companies on both a customer $($revenue$)$ and supplier $($cost$)$ basis. For more details on Bloomberg's SPLC: please see attached bloomberg$-$splc$.$pdf Download bloomberg$-$splc$.$pdf

Where does the data come from?

In the US$,$ the SEC$$s Regulation S$-$K governs what financial data must be disclosed by public companies that trade on a US exchange. Reg S$-$K states only that customers must disclose customers that are greater than $10\%$ of revenues on an annual basis. There are no other customer requirements and no supplier requirements.

Data: Application Exercise # $1.$xlsx Download Application Exercise # $1.$xlsx

There are $4$ buyer firms with multiple suppliers in the dataset. You may notice$-$ there are two pairs of competitor firms: Pepsico vs Coca Cola; AMD and Intel$).$

Supplier Analysis $($Please submit your assignment in PowerPoint or Word format, which may include bullet points. These bullet points should also contain explanations of your points. Try to write short sentences to ensure clarity and understanding. Avoid lengthy sentences. It's not an essay$-$style submission.

Supplier countries: Look for where these suppliers are mostly from. $(7\mathrm{.}5$ points$)$:

Look for how many suppliers work with both competing firms. Or how many suppliers work with only one buyer firm? $(7\mathrm{.}5$ points$)$:

Look for expenditure categories $($CAPEX$,$ COGS, or SG&A$)$ and see what you can interpret from this. Search on Google to learn more about CAPEX, COGS, and SG&A$.(7\mathrm{.}5$ points$)$:

Any other information you can deduct? $(2\mathrm{.}5$ points$)$:

Below are some points to consider as you craft your submissions. Remember, you don't need to address all of them, but they serve as valuable reference points to enhance the quality of your assignment. In other words, feel free to be creative. I don't want to limit your thinking as you explore the data; perhaps you'll discover something new that I haven't listed.

Supplier Countries

Identify the primary countries from which the suppliers are sourced.

Explore the geographical distribution of suppliers to understand any concentration or diversification trends.

Assess the significance of each supplier country in terms of supply volume, cost$-$effectiveness, or strategic importance.

Supplier Relationships

Determine the extent of overlap between suppliers working with competing firms.

Analyze which suppliers $($and if possible how many$)$ are exclusive to one buyer firm or if they serve multiple competitors. In other words, look for sole suppliers $($suppliers that work with only one firm exclusively$)$ and shared suppliers $($suppliers that work with multiple rival firms$).$

Think about the implications of shared$/$sole supplier relationships on competitive advantage, bargaining power, and supply chain resilience.

Expenditure Categories

Think about what you can interpret from the proportion of spending allocated by buyer firms to each category $($CAPEX$,$ COGS, etc.$).$

Identify any patterns in expenditure distribution across different supplier groups, if possible.

Additional Insights

Assess the impact of supplier country locations such as geopolitical instability, supply chain disruptions, or regulatory changes.