Question
Your company employs total annual cost analysis as well as preference matrices in the supplier selection process and engages in Green purchasing. Discuss and rationalize
Your company employs total annual cost analysis as well as preference matrices in the supplier selection process and engages in Green purchasing. Discuss and rationalize the selection of one supplier (A, B or C) of closures for a low acid bottled product given the following conditions summarized in the matrix below and your companys average monthly consumption of 4,500,000 closures. Please state any assumptions that you make.
the course is supply chain management. I'm to calculate cost analysis for the most suitable supplier in the matrix ( that is the table) and discuss my choice
FAPT6401 OPERATIONS & COMERCIALISATION MODULE TOPIC #1: Your company employs total annual cost analysis as well as preference matrices in the supplier selection process and engages in Green purchasing. Discuss and rationalize the selection of one supplier (A, B or C) of closures for a low acid bottled product given the following conditions summarized in the matrix below and your company's average monthly consumption of 4,500,000 closures. Please state any assumptions that you make. Supplier B Supplier C Zeebrugge Belgium California - USA US$ Euros FOB San Francisco CIF Kingston 39.69 37.79 3 weeks 4 weeks Supplier A Location Beijing - China Transaction Currency US$ Incoterms CFR Kingston Price per 1000 units 31.75 Transit Time to Kingston 16 weeks Minimum Order Quantity 8,000,000 Product Quality Rating 92 (%) Green Supplier No Credit Terms Letter of Credit Production Lead Time 18 weeks 4,000,000 10,000,000 95 97 Yes Yes 60 days from invoice date 30 days from invoice 16 weeks 4 weeksStep by Step Solution
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