Description
Article 7 is titled Reinventing Supplier Innovation Relationships and includes the following topics:
- Create internal alignment among key functional groups.
- Agree on an internal definition of commodity versus innovation
- Actively manage the portfolio of supplier innovation projects.
- Develop an effective communication structure to support a zipper approach to the relationship
- Create a common language.
- Keep organizational responsibilities in phase with the assets transition from innovation to commodity
- Build and maintain trust
- Establish structures that allow each firm to respond to the dynamics of the others business model
- Apply meaningful metrics
Wall Street Journal Article: Everywhere You Look, the Global Supply Chain Is a Mess,
Please read Article 7 and the Wall Street Journal articles before answering the questions below.
Questions ————————————————————————–
- Discuss the importance of reinventing supplier relationships after the global supply disruptions for Toyota Motor Corporation.
- Describe how buyers and suppliers can work together to create innovative solutions to the clogged seaports of the United States.
- What are the risks of developing new product innovation relationships with suppliers outside of China?
- Please provide an insightful question about establishing innovative partnerships to solve the current challenges created by disruptions in global supply chains.
The first discussion:
Discuss the importance of reinventing supplier relationships after the global supply disruptions for Toyota Motor Corporation.
If Toyota Motor Corporation had an existing relationship with its suppliers Toyota would get the parts they need from their suppliers. When there is a customer supplier relationship the supplier will give first priority to the customer, they have a relationship with when there is a shortage of supplies. Toyota and its suppliers can also innovate new products or new ways to use existing products that can substitute for the necessary product in times of shortage. By using the nine better practices for supplier innovation relationships Toyota can build a relationship with its suppliers.
Describe how buyers and suppliers can work together to create innovative solutions to the clogged seaports of the United States.
By using the nine better practices for supplier innovation relationships buyers and suppliers will have the foundation to innovate effectively. This established relationship can be leveraged when buyers and suppliers are faced with issues such as the clogged seaports of the United States. Buyers and suppliers that do not already have an established relationship can begin to create innovative solutions to the problem of clogged seaports by using the nine better practices.
What are the risks of developing new product innovation relationships with suppliers outside of China?
Risks of developing new product innovation relationships with suppliers outside China include changing political policies and trade laws (including tariffs). Another risk is other countries may not have a skilled workforce. There will also be the risk of shortage of supply due to natural disasters because natural disasters happen everywhere.
Please provide an insightful question about establishing innovative partnerships to solve the current challenges created by disruptions in global supply chains.
How long does it take to create an effective innovation relationship when using the nine steps?
The second discussion:
Question #1
Reinventing supplier relationships in Toyota Motor Corporation is vital to sustain trust in the cross-functional team of suppliers and ensure long-term operational success (Slowinski et al., 2015). The supply chain in Toyota Motor Corporation is facing a constant squeeze following the global disruption caused by the Covid-19 pandemic. However, the corporation seeks to reinvent its supply relationships through practices such as creating internal alignment among the critical functional groups, developing an effective communication structure like the zipper approach, creating a common language, building and maintaining trust as well as applying meaningful metrics. Reinventing the supply innovation relationships is essential in creating a globally connected level of operation, improving the entire corporation operations to satisfy the expectations of its customers.
Question #2
Buyers and suppliers in the United States can work collaboratively in dealing with clogged seaports through developing ways for easy cargo redistribution. The companies can negotiate with the suppliers and have a solid relationship with the terminal operators from different ports to achieve a viable option in their supply chain with reduced costs (Sollish & Semanik, 2011). Virtual warehousing is another approach that the buyers and suppliers can implement to reduce congestions by managing their inventories, monitoring their supply flexibly. The buyers and suppliers can also use other ports of entry to avoid having to wait in long queue for their turn to load or offload their supplies at one port.
Question #3
There are various challenges that face professionals while conducting business in another country. Poor communication due to the language barrier is one of the risks of developing a new product innovation relationship with suppliers outside China (Sollish & Semanik, 2011). Most suppliers may not be fluent in the spoken language which will make it hard for the buyers to ask for explanations multiple times because it would lead to misunderstanding.Compliance issues are another risk that focuses on issues of social responsibility, quality, and environmental safety guidelines in the production process. It is hard to make all suppliers understand the underlying standards and expectations to ensure proper and safe practices. Time differences between the global regions can pose a risk in issues of production and delivery schedules. When a delivery is late one is likely to pay a penalty leading to additional cost expenses.
Question #4
Which is the most viable strategy for managing the impacts of Covid-19 disruptions on the supply chain?
