UNDERSTANDING MANAGEMENT-MINDTAP
UNDERSTANDING MANAGEMENT-MINDTAP
11th Edition
ISBN: 2818440049460
Author: DAFT
Publisher: CENGAGE L
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Chapter 6, Problem 7AYSSL
Summary Introduction

To determine:

How I behave and react in social situations.

Concept introduction:

A social situation includes any situation in which you and at least 1 other person are present. Social situations tend to fall into 2 main categories: performance situations and interpersonal interactions. However, it is vital to behave and act fairly and appropriately, when faced with issues, problems or decision-making.

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Being in the procurement team for one of the major automotive companies such as GM or Toyota. How to Appraise the best strategy to source for microchips based on portfolio analysis. Give reasons to support in the context of the automotive industry. Note: The procurement spend on microchips is a small fraction of the Bill Of Materials (BOM) of an automobile.
One of the challenging issues in determining the appropriate sourcing strategy is whether a company should choose 'single sourcing (i.e. the company buys the entire item from one supplier)' or multiple sourcing (i.e. the company buys an item from more than one suppliers)'. Using the five objectives of procurement Examine which procurement objectives can be best served via 'single sourcing.' Give reasons Another issue in determining the appropriate sourcing strategy is whether to choose a large or small supplier. Again, show which procurement objectives can be best served with a large supplier. Provide supporting reasons.
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