What must supply chain partners do to manage the inherent uncertainty in demand,technology,and supply factors?
A)They must ensure that the contract is carefully documented to account for all possibilities.
B)They must partner with multiple suppliers at each point in the supply chain.
C)They must strictly enforce both legal and financial penalties.
D)They must forge close relationships both upstream and downstream.

Question

Quizplus · Accepted Answer

To manage the inherent uncertainty in demand, technology, and supply factors, supply chain partners must forge close relationships both upstream and downstream. This allows for better communication, collaboration, and coordination, which can help to mitigate risks and uncertainties. By working closely together, partners can also develop contingency plans and alternative solutions to respond to unexpected events or changes in the supply chain. Partnering with multiple suppliers at each point in the supply chain may also help to mitigate risks, but it can also increase complexity and costs. Strictly enforcing legal and financial penalties may not be effective in managing uncertainty, as it may not be possible to anticipate or control all risks and disruptions in the supply chain. Careful documentation of contracts is important, but it is not sufficient to manage uncertainty without close relationships and effective communication among supply chain partners.

What Must Supply Chain Partners Do to Manage the Inherent