Supply Chain Issues – Are Ds and Os Paying Attention?
Globalization can reduce expenses and raise profits by purchasing goods from the cheapest supplier. But purchasing the cheapest product sometimes is not a good answer. Literally decades ago, well run companies set up supply chain oversight and checking for overseas suppliers. Others, however, do little or nothing to check on suppliers, and some Ds and Os ask few questions. Failing to ask good questions can produce adverse headlines and financial consequences, as illustrated by this week’s set of stories about food recalls involving Chinese suppliers.