Instruction:

The following essay questions are based on lecture notes and book chapter reading. In answering questions pay attention to :

(1) respond to all the questions just below each question(e.g., 1a, 1b, 1c.....6a, 6b, 6c);

(2) provide quality answers with relevant concepts/idea with support details;

(3) organize your through with good flows. If some of your answers are from PPT notes (Hong, 2017, Ch xx pp. xx) and textbook (Monczka et al., 2016, pp. xx), specific with the necessary citations with Chapter and page numbers).

Each question (e.g., 1a, ...2c, 5b....) requires at least one or two solid paragphs of answers and it is O.k. to exceed one page per each question (e.g., 1,2, 3....6). Submit to Blackboard your electronic copy (ALL).

Those who are in Class Session, submit paper copy of your answers as well.

1. (a) Name three important factors why the top managers are recognizing the importance of purchasing and supply chain management.

(b) Briefly discuss each of the seven periods in the evolution of purchasing and supply management

(c) What do you forecast for the future? Why?

2. (a) List the areas typically considered within purchasing is span of control. Explain why it is important that purchasing have authority over each of these areas.

(b) Discuss the advantages of electronically transmitting and receiving purchasing documents between a buyer and seller.

(c) Why is purchasing becoming increasingly involved in the purchase of transportation services and other nontraditional purchasing areas?

3. (a) Write a brief policy statement that presents a position on the need for utilizing more diverse
suppliers.

(b) Companies such as Wal-Mart and IBM are enforcing environmental performance in their supply base. What do you suppose is the motivation for doing so? How does this decision impact the brand of these and other companies?

(c) Consider the elements of the code of conduct developed by Caterpillar in Sourcing Snapshot:  Caterpillar's Code of Conduct. What are some specific examples of purchasing behavior that would violate elements of this code of conduct?

4. (a) Discuss why the involvement of external suppliers can positively affect a team's effort

(b) What is the difference between a gray box and a black box approach to early supplier involvement? Under what circumstances might each approach be appropriate?

(c) What are the impacts of increasing worldwide risks on supply management and the need to work closely with other functions and suppliers? Why?

5. (a) What are some of the factors that would influence whether a firm centralizes or decentralizes its supply management organization?

(b) Discuss the role of consortiums and Group Purchasing Organizations

(c) What is the logic behind co-locating purchasing personnel with internal customers?

6. (a) Explain the difference between category strategy development and strategic sourcing. How do these differences translate into different types of processes and activities required to produce an outcome in each case?

(b) Describe a set of supply management goals that might be aligned with the following corporate objective made by an automotive manufacturer: "To be the number one in customer satisfaction."

(c) Some companies have begun to bring production from Low Cost Countries back to North America and Europe. What are some possible explanation for this shift?