W AutoSave On Paste File Home Insert Draw Design Layout References Mailings Review View Help Table Design Layout X Clipboard Page 4 of 5 F Calibri (Body) 1267 words BIU ab X 23C Mostly clear DX 11 8 Font x SCM ASSESSMENT TASK TWO-OPEN BOOK EXAMINATION- QUESTION PAPER-JULY 2023 Saved A^ A A English (United States) Aa A Text Predictions: On a-v # Paragraph Normal No Spacing Heading 1 Styles DIVINE MERCY INSTRUMENTS (DMI) Divine Mercy Instruments(DMI) supplies instruments which are used in vehicles to measure wear and tear of car tyres and brakes. DMI supplies the instruments for 10 different car models. Linford makes similar instruments for 4 car models which represents 77% of the market. Linford is DMI's only competitor and within a short period of 4 years Linford has captured 68% of the market due to competitive pricing. DMI offers 2-year warranty on its products compared to 1 year offered by Linford. Heading 2 35 o 3| Page DMI outsources the manufacture of their instruments to Compco Ltd. DMI's current contract with Compco does not include any KPIs about maximum number of defects allowed per batch or delivery lead time. DMI has had a long-term contract with Compco for last 10 years and as per the terms of the contract, Compco has increased the price by 5% every year. Both DMI and Linford coat the exterior of the products with rust proof paint. However, DMI also paints the internal parts of the instruments with similar rust proof coating. QUESTION As the newly appointed Supply Chain Director for Divine Mercy Instruments, Illustrate the 3 steps DMI can take to reduce its supply chain costs and create cost advantage. Accessibility: Good to go Q Search O Juaben Oil Mills Ltd Juaben JC Title Focus Comments O Find Replace Select Editing S 80 Dictate Voice Editing E Editor Share 10:08 pm 2023-08-19 X 100%