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Solved! Get answer or ask a different Question 3633

You have recently checked your Risk Register and realized that in the last two weeks you have been experiencing late deliveries, inferior quality of components and requests for early payment (earlier than the industry standard of 30 days after delivery) from one of your suppliers. You are suspecting that this supplier is experiencing financial distress.

a)    At this point what kind of actions would you take to manage this exposure? Please list four actions that you think are the most critical.

b)   List three component characteristics that should matter in the design of these actions, and explain how your actions in part a depend on these characteristics.

c)    Do you make changes in this action plan if the supplier starts a bankruptcy process? Please explain the reasoning behind your arguments.

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