Procurement and Supply Management

QUESTION 2 (20 Marks) The sourcing process includes every activity that revolves around identifying and assessing potential suppliers as well as selecting and engaging with an appropriate supplier who offers the best value. At the end of the sourcing process, usually a contract is signed or an agreement is reached between the buyer and the supplier on what is to be procured and the terms of contract.

2.1 In light of the statement provided, define a sourcing strategy. (4 marks)

2.2 What sourcing strategies would help a company to build a dominant position in its supply chains? Your response should evaluate at-least 4 examples of such strategies. (16 marks)