Question: Organisations that have implemented the cost - down programmes over the past few years, have experienced large cost - savings in purchasing. Savings in areas

Organisations that have implemented the cost-down programmes over the past few years, have experienced large cost-savings in purchasing. Savings in areas such as production-releted buying as well as nck in mateon-production- related buying has also been seen despite the long-established and high valued relationships with the suppliers involved. however in some cases slack does occur. Economic slack is a phrase used to describe the amount of resources in the economy that are used
Taking the above paragraph into account, evaluate the reasons as to why slack in materials costs and price may exist for any organisation of your choice.

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