Advantages Multiple Purchasing


 
Multiple Sourcing > Forum Log in

Advantages Multiple Purchasing
Dorcas Mulwa, Kenya
Are there any other advantages and disadvantages of multiple sourcing?
 

 
Advantages and Disadvantages of Multiple Sourcing
Stefan Smith, Project Manager, Germany
Advantages:
- Obviously, the competition between suppliers may lower the price.
- Also you are more flexible in changing the supplier in a case of unpredictable situations.
- On the other hand there is less risk for supplier to be concentrated on some special part of production, which would make him (the supplier) dependent on the purchases of buyers.
Disadvantages:
- There may be cost disadvantages due to the lower volume you purchase from one supllier
- Processing costs may be higher, as a result of an increase in the complexity of the processes and relationships to the suppliers.
 

 











 

  Do you wish to study further? You can learn more from the summary, forum, discussions, lessons, courses, training, instructions, expert tips, best practices and education sources. Register.  


Special Interest Group Leader

You here


More on Multiple Sourcing
Summary
Forum
  • Advantages Multiple Purchasing

Best Practices

Expert Tips

Resources

About 12manage | Advertising | Link to us | Privacy | Terms of Service
Copyright 2017 12manage - The Executive Fast Track. V14.1 - Last updated: 15-12-2017. All names tm by their owners.