Ch. 7 Supplier Selection Process

Question 1

Supplier Selection Process

Answer 1

• The intensity of the process depends on value of purchase and nature of market
• Objective is to maximize value and reduce risk
• Many issues and decisions

Question 2

Supplier Selection Process cont.

Answer 2

• Recognize need to evaluate suppliers
• Determine specific sourcing requirements
• Determine supplier strategic characteristics
• Identify potential sources
• Limit pool
• Evaluate suppliers
• Select supplier(s)

(in-depth in handout)