Apparel Industry Management

Apparel Industry Management 3(3+0)

Lesson 17 : Managing The Supply Chain

Supply Chain Strategy

A company must decide a strategy for the purchased items. This is one by supply chain strategies. There are the companies apply several of these with accordingly.

1. Multiple Suppliers – this strategy plays supplier against another and places the burden of meeting the buyers on the supplier. This is for the long-term partnership.
   
2. Few Suppliers – this is for few suppliers which implies that rather than looking for short turn attributes, developing a long term relationship with a few dedicated suppliers
   
3. Vertical Integration – this develops the ability to produce gods or services previously purchased or actually buying a supplier or a distributor. It can reduce in reduction, quality inheritance and timely delivery.
   
4. Keiretser Network - it is a Japanese coalition whose members are expected to have long term relationship and have to function as partners.
   
5. Virtual Companies – rely on a variety of supplier relationships to provide services on demand. These are called as HOLLOW CORPORATIONS OR NETWORK COMPANIES. The relationships provide a variety of vendor services. The relationship may be long or short but includes time partners