Supply Chain Management Discussion Questions

Reply 1 With any business, supplies are necessary for day to day processes. To have quality products, it all starts with the quality of the supplies. To make it easier for a company to chose who they wish to have supply them, companies can perform supplier evaluations to find the best fit. A supplier evaluation is the “process of evaluation and approving potential suppliers by quantitative and qualitative assessment (Ecovadis, n.d). There are a number of considerations when evaluating a supplier. One of these considerations includes the financial stability of the supplier. Some of the components to look at when looking at the financial stability of a supplier includes profit and loss statements, balance sheets, quick ratio, current ratio, total assets of the company, current liabilities of the company, the net profits after taxes, the current net worth of the company, and review of the company’s previous financial statements (Carbajo, 2016). A supply company should be willing to give potential clients the information in order to evaluate their financial stability. A majority of this information is also public information as well. Financial stability is not the only thing that goes into a supplier evaluation. Other considerations includes the companies competency, capacity, commitment, control, cost, consistency, culture, sustainability and environmentally clean, and communication (Mind Tools, 2018). These aspects of the supplier are important to include in the evaluation because it will allow the company to get an overall sense of the quality and business performance of the supplier. They will allow the company to avoid making the wrong choice of a supplier. They will allow the company to compare the needs of organization with what the supplier has to offer. In any industry, consumers are looking at the quality and costs of the product when making a decision which product to buy. Philip Crosby believed that a zero defect system is possible, but the quality of the physical product all starts with the supplies that are used (Swink et al, 2017). By evaluating the supplier with the considerations mentioned, a company is able to identify the supplier that has the best quality supplies. These considerations are also important because they can allow one to negotiate a price with the supplier (Mind Tools, 2018). The example that the Mind Tool team provided is that if a supplier is weak in one or more of these areas, and the company believes that this could have in impact on the company’s product, then negotiating for a lower price would be exploited (Mind Tools, 2018). At the end of the day, supplier evaluations are used by a company to compare potential suppliers for their production process. An important consideration is to identify the supplier’s financial stability. Other considerations are also needed when evaluating a supplier because it gives a better overall sense to the company. This understanding of the supplier can help the company but allowing them to pick the best supplier for their specific company, as well as eliminate potential risks to the production. Carbajo, M. (2016, Oct 17). Supplier Evaluation Risk Rating: Applications and Benefits. The Balance. Retrieved from https://www.thebalance.com/supplier-evaluation-risk- rating-applications-and-benefits-4017420 Ecovadis (n.d). Supplier Evaluation. Ecovadis. Retrieved from http://www.ecovadis.com/supplier-evaluation/

Mind Tools (2018). 10 Cs of Supplier Evaluation. Mind Tools. Retrieved from https://www.mindtools.com/pages/article/10-cs.htm Swink, M., Melnyk, S. A., Hartley, J. L., & Cooper, M. (2017). Managing operations across the supply chain (Third ed.). Dubuque, IA: McGraw-Hill Education. Please reply back to this post. 300 words… at least one citation. Must include the following:

What did you learn from this post above? What do you like about the post. What do you disagree with from the post. Is there anything you would like to add. Any suggestion on how to improve the system

Reply 2 Logistics management is all around us. There have been many ways that Logistics management has changed over the last few decades. With the introduction of the latest technology and high-speed computers we are able to manage Logistics like never before. Another huge factor into Logistics has been globalization. Nobody can stop globalization. Some people are worried about Artificial intelligence. However, whether you worry about it it will come. If you do not worry about it it will still come. The best way understand Logistics is to know what is coming and how to best capitalize on the opportunity. Where people complain that is where the opportunity lies. Logistics management is a Supply Chain management component that is used to meet customer demands for the planning, control and implementation of the effective movement and storage of related information, goods and services from origin to destination. Logistics management helps companies reduce expenses and enhance customer service the logistics management process begins with raw material accumulation to the final stage of delivering Goods to a destination. By adhering to customers needs and Industry standards, Logistics management facilitates process strategy, planning and implementation. By seeing where the opportunity is we are able to best find the logistic answer to use. There are many factors to consider when looking at why we should change our Logistics process and globalization would be one of the large ones. With many large countries like China and India entering the global market it is much easier to deliver

communicate and do business with these countries that are good at trade. (technopedia, 2018) Other ways Logistics has changed as been with increase technology. We are now able to communicate like never before in record time. This is a trend that is expected to continue to rise and will not only in power many small businesses with also shaped the way business will be done in the future decades. Before what used to be done by large countries only, is now being done by small businesses. A farmer is able to sell his Goods all across the world with the help of a computer. Before these trades were only limited to people who had power. Now the power is given to the people to better their lives. By getting many inputs trade is able to advance to new levels that are appropriate for everyone. Great ways for companies to have effective Logistics management is properly plan for New endeavors. By planning accordingly companies are able to accumulate Goods, storage facilities, and deliver products to the necessary customers in record time. by planning ahead companies are also able to save on time, transportation, and other costs. This will below for more businesses to adopt automation. This is where artificial intelligence comes in. Technology is able to save not only on labor costs but also save people and allow them to live longer and apply themselves in other areas of the business. By companies using the proper software they are able to integrate and have timely updates on moving goods and products. Logistics management is changing in a positive direction and that is why technology should be embraced. By having the right team they are able to create value in the relationships. That is why hiring the right people is important. As the decades have went on warehouse management has also increased and become dependent on all types of goods. Efficient transportation is also a vital in order to get Logistics where they need to go. Everybody wants their product delivered in a fast and efficient manner. Transportation Department’s can be analyzed to decrease the expenses of the logistics firms and at the same time, it can be revamped for faster delivery of the products. Determining the best delivery route, a logistics firm should opt for the shortest yet safest route. This is beneficial for saving money as well as time. Cost-effective packaging that it shows low investment and safety of good as well. Optimize the packaging so that it occupies less volume and it does not increase the weight of the package. (Robinson, 2017) By using integrated measure all of this is able to come back together and the right teams in the logistics management are able to analyze and provide proper feedback that will save the company more time and money. Measuring the output is very important for the success of a company. It will determine if a strategy is successful and if that business will also be successful. As Logistics advances in the next 20 or 30 years we will see more trade with the world and many new ideas will come into play. By allowing small companies we will see an introduction of new business practices that may shock the world. We should all look forward to the changes that are coming and learn how to best adapt to the changing situations to put ourselves in a successful situation.

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What did you learn from this post above? What do you like about the post. What do you disagree with from the post. Is there anything you would like to add. Any suggestion on how to improve the system

Reply 3 If a supplier passed the financial review and was selected, how would a customer firm know they are still financially sound after the agreement was in place? 150 words 1 reference