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Joe is a Supply Chain Manager at a car manufacturer in the UK. He plans rationalisation to streamline processes and save money. Which tactics are forms of rationalisation? Select TWO.
Suggested Answer: D, E
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Rationalisation includes reducing supplier numbers and practices such as tier-skipping to simplify the network and reduce cost/complexity. Short extract: ''rationalisation---reduce supplier base; consider tier-skipping.'' (L5M7 Study Guide, p.11)
26 comments · newest first
CA
Cathrine
2 months ago
I agree, but supplier innovation could lead to better efficiency.
PE
Pearly
2 months ago
Customisation seems counterproductive for rationalisation.
LA
Lashawnda
2 months ago
Definitely! Collaborative inventory management also helps streamline.
SU
Suzi
3 months ago
I think reducing the number of suppliers is key. Less complexity.
AR
Arlean
3 months ago
I agree, but supplier innovation could lead to better efficiency.
SU
Susy
3 months ago
Customisation seems counterproductive for rationalisation.
GE
Geraldine
3 months ago
Definitely! Collaborative inventory management also helps streamline.
DI
Dick
3 months ago
I think reducing the number of suppliers is key. Less complexity.
IZ
Izetta
4 months ago
I agree with Alex. Fewer suppliers mean better control and cost savings.
JO
Jonelle
4 months ago
Customisation seems off for rationalisation. Too much variation.
JI
Jill
4 months ago
Definitely! Collaborative inventory management also helps streamline.
GE
Gerri
4 months ago
I think reducing the number of suppliers is key. Less complexity.
CE
Cecily
4 months ago
Customisation seems more about personalization than rationalisation, right?
CH
Cherry
4 months ago
Totally agree with reducing suppliers, it simplifies things!
AR
Arlen
6 months ago
Wait, tier-skipping? Isn’t that risky?
RE
Reynalda
6 months ago
I think collaborative inventory management fits too!
TE
Tequila
6 months ago
Reducing the number of suppliers is definitely a form of rationalisation.
AL
Alpha
6 months ago
Supplier innovation can help, but is it really rationalisation?
XO
Xochitl
7 months ago
Customisation doesn’t really streamline anything, though.
KI
Kiley
7 months ago
Wait, tier-skipping? Isn’t that risky?
CO
Coletta
7 months ago
I agree, collaborative inventory management also fits.
HE
Hermila
7 months ago
Reducing the number of suppliers is definitely a tactic!
ST
Stevie
7 months ago
I recall a practice question where we had to choose between similar options, and reducing the number of suppliers was definitely highlighted as a key rationalisation strategy.
HA
Haydee
7 months ago
I think tier-skipping could also be a tactic, but I need to double-check if it really aligns with the goal of streamlining processes.
OC
Ocie
8 months ago
I'm not entirely sure, but I feel like collaborative inventory management might not fit the definition of rationalisation.
SO
Sommer
8 months ago
I remember discussing rationalisation tactics in class, and I think reducing the number of suppliers could definitely be one of them.