Supply Chain Opportunity For An Uncertain Economic Recovery

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Journal Article 2 Supply Chain Opportunity in an Uncertain Economic Recovery Frank Bentley BUSI 613 February 2, 2013 Authors Purpose: The single most important issue is the author presents a direct understanding concerning current supply chain within today’s corporations during an economic recession. With the need to scale back supply chain operations during the recession, many companies are trying to find ways to revamp their strategies, re-build relationships and gear towards a more cost effective perspective. There have been numerous tools and resources implemented that will allow them to flourish. More so the author believes that businesses should look outside of labor operations and more towards a…show more content…
It’s with this this scale down many avenues were opened up that allowed companies to utilize the extra resources towards outsourcing, or more centralized locations that will benefit the operations in its entirety. With the evaluation of current conditions, opportunities are identified that will help initiate a more a scalable and flexible operation. For instance, many companies have restructured operations by selling or closing off manufacturing operations in industries where outsourcing companies can readily manufacture on a contractual basis. It’s through the decision to implement contract manufacturing rather than re-investing in facility operations that can have a direct impact on the performance of the business and help reduce economic risk. Next, with sound communications proper creation and dissemination of policies, corporations can implement clear guidelines for better recruiting and investment in further business activities. It is understood that supply chain managers needs to understand its current situations in its entirety in order to grow its operations in ways that haven’t been presented in the past. This can be done properly by evaluating whether each operation can utilize either temporary, part-time or contract labor and for how long. Also the proper marketing technique should be sought after such as, whether or not the current operations can be out sourced to a company with well-established investment in the current task.
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