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Essay / Research Paper Abstract
This 10 page paper addresses four questions. Assessing supplier relationships for improvement; price versus total cost of ownership; Taguchi's model and quality management; and integrating a large supply chain. Examples are provided throughout the paper. Bibliography lists 8 sources.
Page Count:
10 pages (~225 words per page)
File: MM12_PGod4tfc.rtf
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Unformatted sample text from the term paper:
are attempting to bridge "the gap between customer and supplier early supplier involvement and supplier integration programs" (Institute for Supply Management, 2003). The key is not the specific technique or
strategy used but the development of a positive relationship with suppliers to reduce costs and still maintain or increase quality. When first looking for suppliers for any type of
goods or services, the company should: * First, determine what the companys purchase criteria are based on the companys own standards, such as timeliness of delivery, quality of product or
service, technical support provided, accuracy in fulfilling orders, customer service, total cost of products, attitude of suppliers representatives and employee (D&B, 2005). * The next step is to determine the
demographics of the suppliers and evaluate them using risk of default as one criterion. Things to consider include ISO 9000 certification, risk score, industry region (D&B, 2005). * Following the
determination of these criteria, the company needs to rank the possible suppliers, creating a list of preferred suppliers who meet the criteria established (D&B, 2005). To evaluate existing suppliers, organizations:
* Should first analyze their complete portfolio of suppliers. To do this, identify all purchases that have been made from the same corporate family. This information can be used to
approach the parent company for volume discounts (D&B, 2005). * Companies need to consolidate suppliers within a single industry and then identify suppliers who are both suppliers and
customers (D&B, 2005). Organizations need to monitor the performance of all their suppliers by tracking changes in their risk scores, changes in executive management, public filings, litigation against the company,
and negative fiscal performance, such as judgments against them. these are issues that could affect the suppliers ability to perform (D&B, 2005). Other questions to ask about existing suppliers
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