Accounatbility in the Global Supply Chain

The supply chain management is considered as a management concept from past two decades as the customers are concerned about timely and safe delivery. The competitiveness has been increasing among the companies to deliver the products as quickly as possible to the customers all around the world. This has made the supply chain management as a vital tool for the management. This is also measured as a competitive parameter for the companies.

Blanchard  (2009), “successful supplier relationships require two-way information, recommendations, metrics and incentives. Riordan Manufacturing must understand the cost and value of their entire supply chain. Without a detailed understanding of all costs, from raw materials through the end product or service, and the value provided by its supplier in the process, a supplier cannot be evaluated. Therefore, there are several things Riordan Manufacturing can do to improve their relationship with it suppliers. They can incorporate appropriate service levels and metrics into agreement, share critical information as early as possible, plan for major contingencies, expect and reward honesty and finally, make relationship meetings meaningful” (10 Strategies for Managing Suppliers).

Supply Chain Management (SCM) aims at integrating all corporate activities to improve relationships at all levels (internal operations, supplier networks, and distribution channel) to meet the competitive edge and satisfy the customer. In order to build an effective and complete business process that supports SCM, information among all business partners need to be shared. Information sharing through the Internet reduces the gap for business-to-business (B2B) commerce by enabling seamless integration with enterprise processes among partner corporations.

It is important to note first, what accountability is. I will state why it is important as well as go over scenarios in dealing with accountability.

• Have open and honest communication with vendors concerning what is going good and bad with their products

There is a lot of talk in the media about collaborative supply chain networks, but to get the most out of these networks, businesses need to understand which suppliers it makes sense to collaborate with. However, organizations still have significant issues of trust when it comes to their suppliers, despite the tremendous efficiency and productivity gains companies acquire from collaborating with trading partners. Supply chain collaboration is a shared benefit for buyers and sellers when done correctly and with a win-win attitude. Often though, executives believe that sharing cost information and other internal data with trading partners breeds risk. The solution is to certify suppliers to ensure these trading partners bring your business a return on investment that you

Supply managers have to make sure that suppliers adhere and comply with laws and regulations governing these practices. Companies have to increase actions and be more involved in sustainability activities and practises. The activities include material related, climate and energy, procurement, and transportation and logistics. They must have claws in the contracts to make sure suppliers adhere to these regulations. Suppliers have to have evidence that they are being audited by certified companies for their environmental and economic

Mattel had contracts with thirty seven manufacturers in China to produce their non-core products and each manufacturer needed to meet and uphold Mattel’s safety rules and regulations. Mattel provided chosen manufacturers with the finances to tool the factories in order to produce its products and three, sometimes more, small batch runs were conducted. Once factories were set up and it was proven that everything was in working order, they ran a pilot test of 1,000 units. If the toys complied with company and international standards, production in large quantities would begin. These external manufacturers needed to have any of the supplies or raw materials they were going to use purchased from a list of certified Mattel suppliers or tested for compliance if purchased from a vendor that was not certified.

Hasbro, Mattel’s main competitor has a similar supply chain in place, but avoided the lead paint crisis due to their commitment to inspection. Hasbro set standards for lead paint that were higher than U.S. regulatory standards, and took proper measures to make sure their foreign contractors were also following the same standard. Hasbro placed their own quality assurance inspectors on factory floors, and inspects each product again before it went to retailers. Hasbro’s extra commitment to quality helps the company deliver a safe and reliable product to customers.

Supply chains face expanded pressure from partners to join a plenty of corporate obligation and maintainability angles in their constituents'

As the makers of children’s toys, Mattel has the ultimate responsibility to ensure that every toy is made within the tightest of safety standards. With the case of the Mattel toy recall, the company acted within the spectrum of their code of conduct that was titled Global Manufacturing Principles. Once the problem was identified, Mattel quickly addressed the issue, by automatically issuing the product recall and conducted a special investigation. The findings from the investigation led to other issues being found in Mattel toys. Once again, Mattel quickly responded with more product recalls, and a deeper investigation into the reasoning behind the faults. Through these actions Mattel did act in a socially responsible and ethical manner.

There are both direct and indirect possible impacts of a global supply chain on the orderly production, distribution and sale of the company’s products. Third party vendors conduct these major functions.

The aim of this paper is to describe and analyse the supply risk management in the field of strategic purchasing.

The work of a global supply chain manager is ever changing. These global supply chains must be fluid and responsive to keep with the changing landscape that is global business. Risk factors, consumer expectations, political change, and environmental concerns are many of the things that they must overcome. Planning, communication, and strong relationships can aid these managers in doing what the need to stay on top of all these challenges. The main goal of the supply chain is to provide the customers with what they want. The supply chain either globally or domestically needs to know and understand the needs of its consumers. Supply chains are here to stay, and supply chain managers will probably have a growing source of responsibility. Even

Supply chain sustainability is increasingly recognized as a key component of corporate responsibility. Managing the social, environmental and economic impacts of supply chains, and combating corruption, makes good business sense as well as being