Collection – MBA675-T301 Operations & Logistics in the (...
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-Customer-Induced Volume Changes: The market may demand short lead times, the ±rm
will in turn need a quick reaction from its suppliers.
-Service and Product Mix Changes: Customers can often change the mix of items in an order
and can cause a ripple e²ect throughout the supply chain. This can cause imbalances in
-Late Deliveries: Late deliveries of materials or delays in essential services can force a ±rm to
switch its schedule from production of one product model to another.
-Under±lled Shipments: Under±lled shipments contain enough materials to allow a ±rm to
operate until the next shipment.
Krajewski, L.; Malhorta, M.; Ritzman, L.; Operations
Management Proccess and Supply Chains.
RE: Question 7
October 23, 2017 12:37 AM
Francisco Velazquez - Salazar
Good work describing traditional relationship with suppliers and explaining why it’s
important to establish positive relationship with suppliers. I also agree that Walmart has the
clout to dictate supply chain relationships. In this day and age, having strong supplier/buyer
relationship is a must because the business market is too competitive and information
technology exposes adversarial competitors. Results have shown that adversarial approach
end relationships quickly and companies involved in those relationships fall behind in the
Although a bit outdated, Strategies & Business.com posted an article identifying
relationship best practices that apply to manufacture or service industries. The results were
obtained from interviews conducted with 43 senior executives of major manufacturing
companies and 9 leading U.S. and European suppliers. The 8 relationship best practice are:
(1) Securing full commitment at the upper management level, (2) create an alignment with
the other company, i.e., company goals, (3) establish clarity and purpose, (4) recognize value
of a good relationship, (5) streamline decision making, (6) understand the other side’s
business, (7) get beyond arm’s-length relationship, and (8) codifying the relationship. This
means “setting agreed-upon performance standards, identifying areas for improvement,
and establishing protocols to maintain open communication and transparency.” (Smeekes &
Wilk, December 2, 2008)
Smeekes, F., & Wilk, R., (December 2, 20108)
Transforming an Adversarial Relationship
retrieved October 23, 2017 from ?