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The Power of ResilienceHow the Best Companies Manage the Unexpected$
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Yossi Sheffi

Print publication date: 2015

Print ISBN-13: 9780262029797

Published to MIT Press Scholarship Online: May 2016

DOI: 10.7551/mitpress/9780262029797.001.0001

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Caveat Emptor

Caveat Emptor

Chapter:
(p.159) 7 Caveat Emptor
Source:
The Power of Resilience
Author(s):

Yossi Sheffi

Publisher:
The MIT Press
DOI:10.7551/mitpress/9780262029797.003.0007

Globalization implies that suppliers play a growing role in the companies’ risks, disruptions, and response options. Chapter 7 delves into companies’ proactive approaches toward supplier risk management, using a segmentation of the procurement conditions. It is based, on the one hand, on the complexity and risk associated with the input purchased from the supplier and, on the other hand, on the company’s annual expenditure with that supplier. The chapter also discusses the growing problem of counterfeit materials that arise as supply chains grow longer and more opaque.

Keywords:   Supply chain risk management, Assessing Supplier Risk, Risk analysis, Supplier scorecards, Multi-sourcing, Procurement, Tactical buys, Strategic buys, Counterfeit products, Boston Scientific

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