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Supplier Integration

September 12. 2. Purchasing Linkages p 135. ManufacturingAccountingEngineering - criticalMarketingSuppliersTotal Quality Management. September 12. 3. Engineering. Short lead timesRestrictive specificationsFrequent changesCustomized parts*Lack of product knowledge*Buy strictly on price*Un

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Supplier Integration

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    1. September 12 1 Supplier Integration BUS 416 Fall 2002

    2. September 12 2 Purchasing Linkages p 135 Manufacturing Accounting Engineering - critical Marketing Suppliers Total Quality Management

    3. September 12 3 Engineering Short lead times Restrictive specifications Frequent changes Customized parts *Lack of product knowledge *Buy strictly on price *Unwilling to try new suppliers

    4. September 12 4 Collaborative Relationships Partners adopt a high level of purposeful cooperation to maintain a meaningful trading relationship over time. Balanced power relationship Mutual commitment to the future Conflict is managed

    5. September 12 5 Adversarial vs Collaborative Multiple sources vs Single source Buyer saves vs Rewards shared No Joint Impvmt vs Joint Improvement Minimal Comm vs Info sharing Buyer adapts vs Mutual adaptation Quality--Inspect at receipt vs Design into product

    6. September 12 6 Advantages Mutual benefits Supplier willing to invest Supplier expertise Help with product development

    7. September 12 7 Supplier Integration into New Product Development

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