Supply managers must shift their focus in procuring materials,services and equipment from total cost to price.

Question

Quizplus · Accepted Answer

This statement is incorrect. As supply managers, it is important to consider the total cost of a product or service, not just the price. Total cost includes factors such as transportation, storage, and disposal costs, as well as quality and reliability. By focusing only on price, supply managers may end up making short-term cost savings that lead to long-term problems and expenses.

Supply Managers Must Shift Their Focus in Procuring Materials,services and Equipment