Which of the following is the best reason to add a second supplier for a critical component?

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a. The primary supplier is located in a flood-prone region, while the second supplier’s location is not subject to flooding.

b. The second supplier is able to offer the same lead time as the first supplier.

c. Adding a second supplier helps reduce the bullwhip effect.

d. Adding a second supplier will increase the firm’s purchasing power for the component.

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Operations Management

ISBN: 9781260547610

2nd International Edition

Authors: Gerard Cachon, Christian Terwiesch

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Question Posted: Aug 13, 2020 04:05 AM

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Which of the following is the best reason to add a second supplier for a critical component?

Question:

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a The primary supplier is located in a flood pron...View the full answer

Operations Management

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