Question 3.2 Discuss the relative performance of each supplier and recommend to the management which supplier/s to select for the Nelson Builders. (8 marks) [Word limit: 120 words. Note the word count at the end of your Answer] Your Answer [Insert rowslcolumns and expand the space as reguired): Question 3.3 Helen Brown, CFO of the company, has suggested that the company should Implement Just in Time (JIT) system for Inventory management. One of the senior management members, Rob Harrison, is sceptical about in implementation and raised several questions such as: how can the company save money ifthe order size is reduced and the number of orders delivered increased?; how does the risk of running down the inventory levels be managed?; and how will these changes Impact on the company's strategic priority oi product quality and customer satisfaction? Write a memo to the Senior Management responding to Mr Harrison's concern. Your responses should explain the rationale behind improving supplier relationships and the likely impact of introducing a JIT system in line with the company's strategic priority and the calculations above. (10 marks) [Word limit: 150 words. Note the word count at the end of your answer} Your Answer [expand the space as required}: Word count: === END OF QUESTIONS === Question 3: Managing Supplier's Performance (33 Marks) Nelson Builders is undertaking an analysis of supplier costs in order to evaluate the relative costs and performance of each supplier. For 2021, they have isolated a range of activities that are consumed by suppliers, identied activity drivers, and estimated the cost per unit of activity driver: ceeevevrvvevenvveeee-wvve Inspect order 5145 per delivery Return material to the supplier $105 per return Pay supplier $75 per invoice In 2021, the three major suppliers to the company consumed the following number of activities: m _ 5\" 125 The cost of material purchased from each supplier during 2021 was as follows: Supplier A $30,000 Supplier B Supplier C $50, 000 Required Required Question 3.1 Prepare a detailed suppliers' report showing costs of ownership and suppliers' performance index (SPI). (15 marks} Your Answer (Insert rows/columns and expand the space as required)