To ensure long-term availability of critical materials
and components at competitive cost, a host of manufacturers
will have to come to grips with the risks
and complexities of global sourcing. Others that already
source on a global basis must learn to cope with uncertainties
and supply or price disruptions on an unprecedented
scale. Instead of simply monitoring current
developments, management must learn to make things
happen to its own advantage. This calls for nothing
less than a total change of perspective: from purchasing
(an operating function) to supply management (a strategic
one).
Whenever a manufacturer must procure a volume
of critical items competitively under complex conditions,
supply management is relevant. The greater the
uncertainty of supplier relationships, technological
developments, and or physical availability of those
items, the more important supply management