Supply Chain and Value Chain

Choose a company in which you are familiar. The company should manufactures a product. In this activity, make reasonable assumptions about the activities involved in the supply chain and the value chain for this product. Companies do not typically publish information about their supply chains and value chains.

1. Describe the product that is being produced and the company that produces it. If the company manufactures more than one product choose one that interest you.

2. Describe the six value chain business activities that this product would pass through from its inception to its ultimate delivery to the customer.

3. List at least three costs that would be incurred in each of the six business activities in the value chain. Classify each cost you identified in the value chain as being either a product cost or a period cost. Explain your justification.

4. Make some assumptions about the companys supply chain. What would you think is the single biggest risk(s) that the company faces in its supply chain? What could they do to lower the risk?