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Eliminate the Middleman

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Eliminate the Middleman
Introduction

The process of managing modern supply chain involves a lot of effort from people that are highly trained, motivated and experienced. Despite the traditional job descriptions as distributers’ purchasers and producers, in today’s competitive world we also need good financial, executive, operational and customer service officers. Everything’s more complex and a lot of processes need to be done right in order to run successful business from this caliber. Revolutionary changes are introduced, combining the good old way of doing things right, with the new technology and innovations, also brand new ideas and concepts mixed with the traditional labor power and management. The most difficult part here is to find the perfect balance between the supply and the demand. Reinventing the supply chain management requires smart outsourcing and off shore transport.
Companies have started adapting their business models to the new supply chain model. Globalization has done her own role in all of this and you need to react fast if you want to stay in the game. New and more efficient sources are in demand. Thus, from this demand comes the even larger demand for finished goods or raw materials on the market. Maybe the most important issue is the agility of the companies, how prepared are they to answer to these changes.

What should USTech’s sourcing strategy would be?

US Tech is a company that has a unique problem in the matter of supply chain management and logistics. The company is at burden whether to maintain their relationship with their supplier, TaiSource or find new and alternate Chinese supplier and maybe future partner for their business and operations in the Chinese market. All odds are in favor but let’s see how the company can cope with such a complex case. For starters the want to end the relationship with TaiSource but this can be a very big mistake, because TS knows all the details about every product of UST. In the near

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