Single Sourcing Is a Better Choice Than Multiple Sourcing Because

question 55

Multiple Choice

Single sourcing is a better choice than multiple sourcing because of the following:

• A)increased competition.
• B)ensuring that a supplier will not become complacent.
• C)spreading risk.
• D)gaining access to the supplier's design and engineering capabilities.

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Definitions:

Aggregate Plan

A medium-term plan that outlines the total production levels, inventory, and workforce size required to meet anticipated demand.

Safety Inventory

A buffer stock kept to protect against variability in demand or supply, ensuring sufficient product availability.

Capacity

The maximum output that a system, facility, or machine can produce under normal conditions over a given period.

Advanced Planning Systems

Sophisticated software solutions designed to optimize supply chain operations, from resource planning to production and distribution.