Assignment Task
Task
Question 1
In many organizations, supply managers are asked by senior management to manage procurement in such a way that inventory levels are reduced. What are the
risks that supply managers should be aware of when reducing inventories?
Question 2
Explain briefly the characteristics of a ‘transactional relationship’ in supply management. What are the advantages and disadvantages of a transactional relationship.
Question 3
Explain why “early supply management involvement” and “early supplier involvement” are being seen as increasingly important in today’s global business
setting.
Question 4
What is a “statement of work (S.O.W)” in the context of the procurement of services? Explain briefly the four common formats for statements of work.
Question 5
Explain the supplier selection process that is referred to as the “two-step bidding/negotiation” approach stating clearly the conditions under which this approach is used.
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