5.4 The computer processor manufacturing company has developed a new component that it plans to bring to the market in the next 18 months. Management is considering whether to produce the component in-house or to contract out the purchasing and manufacturing of the new component. a. b. Evaluate and discuss four conditions that would favour outsourcing and four conditions that would favour making the components in-house. (8 Marks) As an expert in supply chain management, you are consulted to analyse your evaluation by making a recommendation to produce the component in-house or to contract out its manufacturing. (2 Marks) [Sub Total 10 Marks] Consider the following scenario then answer the question that follows: Bullwhip Effect in Covid-19: The COVID-19 pandemic revealed the importance of effective supply chain management where many businesses needed to onboard new suppliers quickly and accelerate sales to meet customer demand and remain competitive. During this same time, China was the main supplier for many organisations with no reliable secondary sources to supply. In addition, buyer behaviour was unhinged due to the ripple effect with a disrupted global supply chain and an uptake in panic buying creating disruptions and to some extent disasters for any unprepared supply chain. The bullwhip effect caused by forecast inaccuracy at the end-customer demand point resulted in significant supply chain inefficiencies rendering their supply chain as unpredictable and unstable manufacturing environments. Question 6 Critically analyse and evaluate five key lessons that can be learned from the COVID-19 pandemic to successfully manage the bullwhip effect that was created globally by the pandemic that will influence how supply chain management 4.0 is viewed going forward. (25 Marks)