Question

Many manufacturing firms have increase the amount of component parts and service they outsource, while refocusing on their core capabilities outsourcing parts and service to independent, external supplies means that supplies performance is increasing critical to the long- term success of these buying firms. Buying firms are increasingly using disparate supplier development strategies to improve supplier performance. For this research, supplier capabilities or both and to meet the buying firms Short-and/or long-term supply needs. With example (s) discuss how a company or companies in Africa here develop their supplier

Answer 1

answer-

suppliers are the most important member in supply chain which provide supplies to buying firm for the production purposes.the nature & cost of supplies helps the company to run for long period of time.

african companies uses the supplier developement program to develope thier supplier.Supplier development is defined by the Chartered Institute of Procurement & Supply as “the process of working with certain suppliers on a one-to-one basis to improve their performance and expand capabilities for the benefit of the buying organization.”

african companies are investing in supplier develpopment prograam for the following reasons-

• xpanding the competitive landscape (pricing, service levels, and offerings) between the organization’s existing and potential vendors
• Promoting innovation and “out-of-the-box” thought leadership through the entrance of new products, services, and solutions in the business
• Growing the sources and channels from which to procure products and services
• Creating a collaborative environment between suppliers that may see themselves as competitors, when in fact their solutions may be complementary, allowing them to team up on business opportunities on which they could not normally bid
• Showcasing the organization’s commitment to the economic growth of the communities in which they operate
• Driving job creation
• Building the capacity of diverse businesses to not only serve the organization more effectively but also increasing their sustainability in the entire marketplace
• Increasing the organization’s customer satisfaction, whether it be B2B or B2C
• Integrating supplier diversity into the strategic sourcing process, which will drive corporate-supplier-diversity goal achievement
• Increasing visibility and awareness of executive management to key diverse suppliers
• Fostering engagement of management executives across all parts of the organization, not just Procurement.

african companies rather using diverse range of suppleirs, they prefer to use disparate supplier which provide the buying company all the supplies at low cost & right time which makes other companies to copy this type of strategy.

*hope above answer in my own words would help you in your research report.good luck & rate.