Global Supply Chain Management: Supplier Development Process (PDF)

Scientific Essay from the year 2012 in the subject Business economics - Offline Marketing and Online Marketing, grade: A, ( Atlantic International University ), course: DBA, language: English, abstract: decline profit. Obviously most firms are operating in exceedingly turbulent environment
with pioneering and first mover advantage diminishing at an amazing velocity.
Consumers are increasingly becoming impatient and are demanding soaring quality
products. Coupled with this, there is less strategy to support supplier development in
most firms. The evidence being that, there are no formal partnership in place for lots of
firms and virtually all key items are dual sourced for supply security; and in most cases
suppliers meetings only occur when there is a failure and technical staff of most firms
have virtually no confidence for suppliers in opening up with technological thoughts, non
existence policy and contract, The inevitable of this is significant high cost, not meeting
customers' priorities and becoming market follower.
In view of this, a way has now been unlocked using outsourcing; collaboration among
subcontractors could improve firm's efficiency levels and inject competitiveness in
commodity's prices. Nonetheless, to attain entrepreneurial collaboration effectively,
dealers and subcontractors need to tackle definite concerns relative to their business
segment, unique turf and operational performance. Differentiating amid "supplier" and
"subcontractor" is imperative. With the earlier being the source of goods/services at
marketplace to a widespread customers in huge amount, and the second a provider of
customized goods /services usually not obtainable at marketplace to solitary client in
miniature volumes. Regarding to the concept under discussions, the issues wrap
suppliers as well as subcontractors; the two vocabularies are arbitrarily applied. [...]