Question: This is a Match Column A with Column B question. You will see two columns: Column A contains scenarios related to a real -
This is a "Match Column A with Column B question. You will see two columns: Column A contains scenarios related to a reallife supplier development initiative at South African Breweries SAB At the same time, Column B lists the steps in the sevenstep approach to supplier development. Your task is to match each scenario in Column A with the appropriate step from Column B
Case Scenario:
Imagine you are a procurement manager at South African Breweries SAB a leading beer and soft drinks company in South Africa. SAB has identified a local supplier, Ubuntu Packaging, that provides glass bottles for their products. However, Ubuntu Packaging has struggled with inconsistent quality and delayed deliveries, affecting SAB's production schedules. To address this, SAB has decided to engage in a supplier development initiative with Ubuntu Packaging to enhance its performance and strengthen the supply chain relationship.
SAB conducts a strategic assessment of its supply chain and identifies glass bottles as a core element due to the large quantities required for its beer and beverage lines. The company realises that no viable substitutes can meet the quality and branding standards necessary for their products. The scarcity of alternative suppliers in the local market further emphasises the importance of ensuring that Ubuntu Packaging meets SABs stringent quality and delivery requirements.
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Once the projects are underway, SABs task force actively tracks Ubuntu Packagings progress, using the agreedupon targets to monitor improvements. They schedule regular meetings to review performance data and address any issues. Suppose Ubuntu Packaging struggles to meet the milestones. In that case, SAB is prepared to adjust its strategies, offering additional support or modifying its approach to ensure that the supplier continues improving. The goal is to create a sustainable partnership that benefits both SAB and Ubuntu Packaging in the long term.
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The SAB team arranges a formal discussion with Ubuntu Packagings executives to discuss the urgent need for improvement. During the discussion, SAB outlined the critical role that Ubuntu Packaging plays in their supply chain and the strategic importance of glass bottles to their operations. They set clear expectations for quality improvements and delivery reliability, emphasising the potential longterm benefits of a strong partnership. Together, they agree on a timeline for improvements, including regular progress reviews to ensure that Ubuntu Packaging can meet the agreedupon milestones.
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After identifying several areas for improvement, SABs task force evaluates each potential project based on feasibility, resource needs, and the expected benefits. They consider options such as providing technical assistance to Ubuntu Packaging, offering training programs for their staff, or investing in upgraded equipment. The team also assesses each project's risk and potential impact on their supply chain. After thorough analysis, they select the most viable projects that promise to yield the most significant quality and deliver performance improvements with the available resources.
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Recently, SAB has faced several disruptions in their production lines due to inconsistent quality in the glass bottles supplied by Ubuntu Packaging. The bottles often arrive with defects such as uneven thickness and bubbles in the glass, leading to increased wastage. Additionally, there have been repeated delivery delays, causing SAB to halt production temporarily. These issues are becoming critical as SAB prepares for peak production periods in December, and the company recognises the need to urgently address these supply chain bottlenecks.
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With the development projects identified, SAB and Ubuntu Packaging work together to define clear, measurable performance targets that will be used to gauge the success of the initiatives. They agree on goals such as reducing the defect rate in glass bottles by within six months and improving ontime delivery by These targets are designed to be both challenging and achievable, ensuring that Ubuntu Packaging is motivated to make the necessary improvements while allowing SAB to see tangible results from its investment in supplier development.
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