Written Assignment Unit 4
MBA Business Administration
University of the People
BUS 5116-Operations Management
Dr. Catrin Hechl
December 8, 2021
Case Study: Supplier Selection
Introduction
A large company requires a supplier to outsource a complex part of the company's value chain.
The contract with the supplier will be for 3 years. The company wants to evaluate three suppliers
to find out which supplier is most suitable. The firm's qualifying and winning factors are quality
and time to consumer respectively. The criteria given are price, quality, delivery time, and other
information.
Selection Process
Supplier selection is a critical process that affects the success of any manufacturing organization
(Liu & Hai, 2005). Properly executed supplier selection will lead help the company reduce cost,
deliver products faster and increase its reliability. However, selecting the wrong suppliers will
lead to operational and financial problems (Weber et al., 1991).
Supplier selection is a complicated process that will depend on several and different types of
criteria. The decision will depend on interrelated factors and situations. The procurement team's
decision will be influenced by these content-specific criteria (Goffin et al., 1997). The supplier
selection is dependent on quantitative and qualitative criteria. Quantitative criteria are like price,
quality, delivery time and qualitative criteria are service, flexibility, etc. Furthermore, not all
criteria have equal weight some of them may have a significant impact than others.
As stated above the organization's qualifying and winning factors are quality and time to
consumer respectively. Order qualifier is a required characteristic that a product or service needs
MBA Business Administration
University of the People
BUS 5116-Operations Management
Dr. Catrin Hechl
December 8, 2021
Case Study: Supplier Selection
Introduction
A large company requires a supplier to outsource a complex part of the company's value chain.
The contract with the supplier will be for 3 years. The company wants to evaluate three suppliers
to find out which supplier is most suitable. The firm's qualifying and winning factors are quality
and time to consumer respectively. The criteria given are price, quality, delivery time, and other
information.
Selection Process
Supplier selection is a critical process that affects the success of any manufacturing organization
(Liu & Hai, 2005). Properly executed supplier selection will lead help the company reduce cost,
deliver products faster and increase its reliability. However, selecting the wrong suppliers will
lead to operational and financial problems (Weber et al., 1991).
Supplier selection is a complicated process that will depend on several and different types of
criteria. The decision will depend on interrelated factors and situations. The procurement team's
decision will be influenced by these content-specific criteria (Goffin et al., 1997). The supplier
selection is dependent on quantitative and qualitative criteria. Quantitative criteria are like price,
quality, delivery time and qualitative criteria are service, flexibility, etc. Furthermore, not all
criteria have equal weight some of them may have a significant impact than others.
As stated above the organization's qualifying and winning factors are quality and time to
consumer respectively. Order qualifier is a required characteristic that a product or service needs
