ASSIGNMENT 1 SEMESTER 2,MNP2602

ANSWER IS OPTION 4 PAGE90 prescribed book SOFT COPY ISO14000 ANSWER IS OPTION 4 PAGE 91 PRESCRIBED BOOK SOFT COPY - A seven-step approach to supplier development is outlined below:43 STEP1-Identify critical goods and services. Assess the relative importance of the goods and services from a strategic perspective. Goods and services that are purchased in high volume, do not have good substitutes, or have limited sources of supply are considered strategic supplies. ANSWER IS OPTION 2 PAGE 57 PB SOFT COPY - CRITERIA FOR SUPPLIER SELCTION The purpose of this fund is to assist suppliers to improve the quality of their products, Massmart works to ensure that the products that are provided to customers are sustainably sourced while not compromising on quality and price. 3. Quality: Quality levels of the purchased item should be a very important factor in supplier selection. Product quality should be high and consistent since it can directly affect the quality of the finished goods. 4. Cost: While the unit cost of an item is not typically the sole criterion in supplier selection, total cost of ownership is an important factor. Total cost of ownership or total cost of acquisition includes the unit cost of the item, payment terms, cash discount, ordering cost, carrying cost, logistical costs, maintenance costs, and other more qualitative costs that may not be easy to assess. An example of a total cost of ownership analysis is provided in the following section. The total