Procurement and supply chain collaboration

(1) Why do you think that the procurement function is increasingly becoming important in organizations?

(2) Using suitable examples of companies with which you are very familiar, explain clearly, the difference between core and non-core services that they receive from their suppliers.

(3) Using two suitable characteristics, distinguish clearly between Arms-length and Partnership relationships. Do you think it is a good idea for a company to have partnership relationship with all its suppliers? Explain clearly why or why not.

(4) What do you understand by the term, Outsourcing? Describe three major reasons why firms outsource. Explain some disadvantages of outsourcing?

(5) Honda of America is well-known for its supplier development practice. What does supplier development mean? Explain clearly why some companies may not be too keen on supplier development.

(6) Discuss the relative merits and demerits for single sourcing and multiple sourcing from cost and quality perspectives.

(7) What do you understand by Early Supplier Involvement? Explain clearly how it can be beneficial for supply chains.