2. Step 1: Supplier portfolio analysis

2.1 Case studies

We'll take the real-life case of a "classic" factory producing a few hundred finished products and supplying its own raw materials. As manufacturing lead times are very short (just a few minutes range time), we will first focus on the upstream flow loop, i.e. the "raw materials store-supplier" loop.

The "Purchasing" function is central to the Group, with purchasers having little on-site presence, and above all being assessed on their "Purchasing performance" from one year to the next, as measured by unit price...