Portfolio analysis is:
A)a method of multiple sourcing.
B)a method of identifying substitute materials.
C)the categorization of spend map based on the risks to acquire in the marketplace and value.
D)a method of multiple sourcing and the categorization of spend map based on the risks to acquire in the marketplace and value.
E)a method of multiple sourcing,a method of identifying substitute materials and the categorization of spend map based on the risks to acquire in the marketplace and value.

Question

Quizplus · Accepted Answer

Portfolio analysis in the context of procurement and supply chain management involves the categorization of spend based on the risks associated with acquiring goods and services in the marketplace and their value to the organization. It does not inherently involve methods of multiple sourcing or identifying substitute materials, although insights gained from portfolio analysis might inform such strategies.

Portfolio Analysis Is