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Question 127

A new supplier in a different country will offer substantial savings on existing components. Which part of the organization should be consulted to ensure this is a good strategy for the firm?

    Correct Answer: A

    To ensure that utilizing a new supplier from a different country is a good strategy for the firm, it is important to consult the logistics department. Logistics will be responsible for handling the transportation, warehousing, and delivery of components. They can assess the feasibility, costs, and potential risks involved with international shipping, customs, and delivery timelines. Consulting logistics will help determine if the savings from the new supplier outweigh any additional costs or complications that might arise in the supply chain.

Discussion
MahiSN

Why is it A . Can anyone please explain.