Please response back to the discussion listed below. Strategic long-term supplie

Please response back to the discussion listed below.
Strategic long-term supplie

Please response back to the discussion listed below.
Strategic long-term supplier alliances are very important for successful supply chain management. Supplier selection is based on
1. Process and product technologies
2. Willingness to share technologies and information
3. Quality
4. Cost
5. Reliability
6. Order system and cycle time
7. Capacity
8. communication capability
9. Location
10. Service
Strategic suppliers are trusted partners and become an integral part of the firms design and production efforts (Wisner,Tan, Leong, 2019, p58,59).
So each company has to decide how many suppliers to use that may meet all this criteria or some of it. The options are sole sourcing, single sourcing, multi-sourcing and global sourcing.
Sole sourcing and single sourcing are sometimes used interchangeably. . One supplier is used as the only available source ((sole source) and single sourcing is when the company uses a single source among many options. A company must know the land of supply and how the partnership will be best for them. Single sourcing allows cooperation and is based on high levels of trust with reduced risk of opportunistic behavior on either side . The supplier must also commit to investing in new technologies to meet the buyers demand (https://procurement tactics.Com/multiple-souring/ )
The results of having a single supplier would be the good relationship, lower cost, consistent quality, transportation economies because of the volume, some supplies may be to small to split among multiple suppliers so they have a limited choice, and finally the supplier may be the sole supplier of certain products(patent).
Having a single supplier has disadvantages like difficulty maintaining that competitive edge, lack of the ability to negotiate, maintaining a good relationship can be tough, lack of a backup plan and having all your eggs in one basket puts a firm at the suppliers mercy. I would certainly think that any company would seek to have other options given supply issues that may arise. But if they do not have options they may warehouse excess stock in case of supply shortages.
If possible, multiple sources are great for the following reasons: if needs exceed one supplier then multiple suppliers will help, also spreading the risk of supply interruption minimizes interruption, competition among suppliers can benefit companies, information is at a greater premium given the number of suppliers who are in the market, and business can be given to special suppliers voluntarily or as required by law. But there are difficulties with multi sourcing like difficulty maintaining good supplier relationships, less control over supplier operations with your firm, and maybe an increase in your overhead costs.
Companies can also use global sourcing because of cheaper products and a skilled lower cost workforce in other countries. The use of global sourcing can increase a companies competitive advantage but language barriers, local tariff and tax, political instability, and shipping costs can make this sourcing unattractive to some firms. Overall, firms have choices and through trial and error they develop a supply chain management program that is unique to their needs.
Wisner, J., Tan, K., & Leong, G. (2017). Principles of Supply Chain Management: A Balanced Approach (5th ed.). Cengage Learning
Pros & Cons of Global Sourcing
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Dragon Sourcing | Global Sourcing Company
Multiple Sourcing — The Ultimate Guide of 2024
Unlike traditional sourcing which deals with a single vendor, multi-sourcing makes use of numerous different vendors.
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