IMPLEMENTATION OF THE ACTION PLAN

Step 1: Properly forecast future sales by looking at historical data (see appendix). A proper and accurate forecast is important to determine the right amount of supply needed in the future. Suman Corporation should start by adapting a proper and more accurate forecasting method. Starting their action plan to eventually develop a research and development facility to insource barac by determining how much they need is imperative. This is the most important step in the implementation process as it defines the suitability of building a research and development facility investment in future businesses and for Mike Bradie's position.

Step 2: Determine the amount of barac supply needs by aligning with sales forecast (see appendix). Once a more accurate forecast has been determined, the company can align the forecast to evaluate the amount of barac supply needed in the future. The company can use this information to determine whether an investment for a research and development facility to insource the product is more beneficial for the long-term or not.

Step 3: Evaluate the risk (see appendix). This step involves evaluating the risk of signing a long-term contract with Levi Chemicals while developing a project execution plan to build a research and development centre. Any likely or possible risks that can happen when implementing the action plan should be considered by the company. For an action plan to succeed, risks that are likely to happen should be eliminated or prevented.

Step 4: Negotiate contract agreements and price. Negotiation is an important part of a contract agreement. Purchasing a large volume of their supply is an important aspect to obtain a better price deal. Since the company's largest supplier is Levi Chemicals, Mike Bradie should negotiate a deal such as volume pricing discounts. This negotiation should present the most opportunity for Suman Corporation to strike a better deal because of their relationship and proposed long-term business contract. It is assumed that Vasey Inc. and T.R. Specialties will pose a lower probability of getting a better contract deal because of their volume of supply to Suman Corporation.

Step 5: Sign a 5-year long-term contract with Levi Chemicals to ensure barac supplies for 5 years. Once the previous steps are weighed out, investing in insourcing the product will come out as the best action plan for Suman Corporation's barac supply challenges. However, building a brand- new facility will take some time for the company. They should sign a long-term contract with their largest supplier, which is Levi Chemicals, to ensure a continuous supply and operations while investing in a new facility. This step also ensures their commitment to Levi in addition to

(Dear expert, please help paraphrase the sentence from steps 1- 5. Upvote will be given when it's done, thanks in advance.)