For manufacturers, outsourcing decisions are often known as
A) Make or buy
B) Routine
C) Constrained resource decisions
D) Special order decisions

Question

Quizplus · Accepted Answer

Make or buy decisions are the common term used in manufacturing to decide whether to produce goods in-house or outsource them to a third-party supplier. This decision is crucial as it directly affects a company's cost, quality, and flexibility in the supply chain. Companies may decide to outsource when it's more cost-effective to purchase parts or services from outside suppliers, or when the supplier has expertise in a particular area that the company doesn't have. Therefore, A) Make or buy is the best choice for the given scenario.

For Manufacturers, Outsourcing Decisions Are Often Known as