CO6: Define sourcing as a supply chain component, how to measure performance, and key strategies to improve effectiveness.

Discussion Prompt: Chose one of the following Discussion prompts: Find a business example of outsourcing and explain the risks and benefits this company faces by outsourcing its components or finished products. There has been a push in many communities to source locally. Restaurants are specializing in local sourcing as are grocery stores and craft retailers. Identify the risks and benefits of this sourcing method. Explain the differences between sourcing manufactured products versus services. Identify some of the key challenges that occur in defining service specifications versus manufactured product specifications. Provide an example of each. Identify the primary ways in which the sourcing function impacts supply chain management. Find an industry example where sourcing has significantly benefited the organization and where it has significantly hurt the organization. Define in some detail the sourcing function in your organization including: methods, services and products, challenges &effectiveness, and control methods.