Supply Managers Need to Possess and Utilize Knowledge of Legal

question 1

True/False

Supply managers need to possess and utilize knowledge of legal issues and considerations.Such knowledge must be coupled with the wisdom to communicate and interact with legal professionals and suppliers proactively in efforts to develop and maintain relationships between supply chain members that minimize conflict and maximize opportunities for collaborative success.

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Definitions:

Cost Effectiveness

An evaluation criterion that compares the relative costs and outcomes (effects) of two or more courses of action.

Common Size Income Statement

A financial statement in which all items are expressed as a percentage of total sales, facilitating ratio analysis and comparison.

Operating Expenses

Costs associated with the day-to-day operations of a business, such as rent, utilities, and payroll.

Net Income

Company's overall earnings post the subtraction of taxes and operational costs from its total revenue.