Two benefits of supply base reduction cited by John Deere are: increased leverage with suppliers and better focus and supplier integration in product development.Increased leverage is also due to the increased involvement with the suppliers that builds goodwill and trust.

Question

Quizplus · Accepted Answer

This statement accurately reflects the benefits of supply base reduction cited by John Deere. By reducing the number of suppliers, a company can build stronger relationships with the remaining suppliers and increase its overall leverage in negotiations. Additionally, a smaller supply base allows for better communication and collaboration with suppliers during product development, leading to more integrated and innovative solutions. This increased involvement with suppliers can also help build goodwill and trust, further improving the company's position in the supply chain.

Two Benefits of Supply Base Reduction Cited by John Deere