Purchasing and Supply Chain Management
6th Edition
ISBN: 9781285869681
Author: Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher: Cengage Learning
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Chapter 17, Problem 9DQ
Summary Introduction
To determine: The ways by which cost can be controlled by an indirect buyer by effectively using performance-based logistics or service level agreements.
Introduction: Performance based metrics are used for rating suppliers based on their performance which aids them in increasing their profitability. It is a new method which is different from the traditional method.
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How can an indirect buyer effectively use performance-based logistics or service-levelagreements to control the costs of procuring services?
Why do certain businesses refuse to use third-party logistics services?
What is the role played by third-party logistics providers in the success of businesses?
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Purchasing and Supply Chain Management
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- Discuss the circumstances under which a customer can prefer that a third-party logistics company manage and plans for the shipment and storage of purchased goods?arrow_forwardif you were the manufacturer,what method of product distribution would you prefer?arrow_forwardWhat is a released value rate, and how does its use impact the transportation costs of a shipper?arrow_forward
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