Reference no: EM133604373

Question: In thinking about Peter Kraljic's Supply Matrix we understand that supply risk and profit impact are considered. Kraljic suggests that for strategic items we form partnerships while for potential bottleneck items, we ensure supply by: 1. Managing the supplier of the bottleneck items. 2. Asking for discounts when items are in short supply. 3. Holding additional inventory and potentially adding multiple supply points. 4. Holding the supplier accountable for bottleneck items using the supplier scorecard.