-Discuss the benefits of global supply chains.
-Identify and discuss the threats associated with global supply chains.
-Discuss how these threats impact companies and their customers.
-Discuss how companies can mitigate the risks associated with their global supply chains.
The Benefits of Global Supply Chains
According to Taglioni & Winkler (2016), business has shifted into the global market over the last several decades. There has been the creation of new markets through globalization which has greatly benefited many organizations and firms. Short, Toffel, & Hugill (2016) state that globalization was previously limited to the electronics, clothing, and textile sectors but it has now expanded to various industries and has benefited the engaging firms by increasing their competitive advantage, especially through the firms using global sourcing. Previously, most of the assembly and component production technical skills that were required by most companies were restricted to the lead firms only. However, there is progress in some areas as companies slice up their production chains through the use of global supply chains.
The Threats Associated With Global Supply Chains
According to Short, Toffel, & Hugill (2016), the global supply chains face a vast number of threats especially due to the global nature of the activities and their impact on the financial performance of the firm. Taglioni & Winkler (2016) state that threats are part of any global supply chain and may arise from legal issues, security problems, supply shortages, environmental compliance, terrorism, regulatory compliance, natural disasters, or safety challenges. Therefore, for any global supply chain, there exists some element of threat. Companies operating through global supply chains face threats through disruptions in their supply due to global customs, port congestion, or foreign regulations. There are economic and political instability threats in the source country and threats caused by changes in economics such as exchange rates.
TO GET THIS OR ANY OTHER ASSIGNMENT DONE FOR YOU FROM SCRATCH, PLACE A NEW ORDER HERE