Necessary efforts to improve supply chain security present new challenges to firms including:
A) Regulation/compliance requirements
B) Increased transport time and costs
C) Shorter lead times
D) Decreased need for relationship management
E) a and b

Question

Quizplus · Accepted Answer

The necessary efforts to improve supply chain security, such as implementing new security measures and increased monitoring and reporting, often lead to increased regulation and compliance requirements. This can result in higher costs and longer transport times as additional checks and inspections are needed. Additionally, supply chain security efforts may require shorter lead times to allow for more frequent and thorough inspections. Overall, these changes may decrease the need for relationship management if firms rely more on formal compliance procedures rather than personal relationships with suppliers. Therefore, choices A and B are correct. Choice C is incorrect because shorter lead times are generally a necessary effort to improve supply chain security. Choice D is incorrect because relationship management remains important even with improved supply chain security.

Necessary Efforts to Improve Supply Chain Security Present New Challenges