SMU MBA ASSIGNMENTS

Answer  : Supplier development is the process of working with certain suppliers/subcontractors on a one-to-one basis to improve their performance for the benefit of the buying organization.

Two most important functions of a supplier development program are:

• Provides information on products, expected sales growth, etc.
• Provides training on the application of cost effective implementation and quality tools.

Major organizations use a “hands-on” approach to improve their supplier’s manufacturing processes and administrative systems. They work side by side with their suppliers to improve quality, reduce cycle times, cut costs, and increase capacity.

The purchasing and supply management professionals of an organization must select the most appropriate approach that suits their relationship with the supplier that they have selected for development. There are different approaches to supplier development that are appropriate for different supply markets.

The supplier development process involves:

• Embracing supplier expertise and aligning it appropriately to the buying organization’s business needs. The objectives of this may range from slight adjustments in staffing levels to very substantial issue such as appraisal and re-launch of an entire range of critical products.
• Developing a supplier’s business such as helping the supplier to evaluate and redesign their corporate strategy. The purpose of this is to align the supplier closely and on a long-term basis with the buying organization in a strategic joint venture. There may be circumstances where it is more appropriate for the buying organization to align its corporate strategy to that of its supplier.
• Changing the management and requiring visible commitment from both organization’s top management teams. It involves people with vision, imagination, and commitment to ensure the project is not damaged by a change in personnel.
• Using value management methods like value analysis to reduce the cost of a product or service without diminishing the operational value. Other objectives include reducing time to market, improving environmental performance or improving quality. Value engineering is another aspect of value management used in supplier development program and it is similar to value analysis but it takes place before a new product is finalized.
• Introducing ‘Reverse marketing’ approach where a buying organization encourages a supplier to enter a new market. This might, for instance, involve the supplier developing its operation or introducing a new range of products.

Both organizations must share a mutual understanding, appreciation, and desire to achieve the objectives of the supplier development project. It is also important to ensure that there is a smooth decision-making process and that those involved in the supplier development project from both organizations are empowered to make decisions.

Q2. Explain the concept of “Value Engineering”. Mention some of the areas around Value

Engineering.

Q3. Describe the steps involved in innovation process in an organization.

Q4. Write a brief note on Qualitative research method.

Q5. What is meant by benchmarking? Mention the different types of benchmarking. What are the  barriers to successful  benchmarking?