Does Lower Cost Always Come With Higher Risk?
In the current economic environment, all of us are feeling a squeeze to reduce cost. As a result, companies are resorting to a variety of creative tactics, including increased business process outsourcing, sourcing from lower cost countries, migrating to leaner and flexible manufacturing, and implementing vendor managed inventory. Invariably, though, many of these approaches can lead to higher supply risk. But, do we always have to choose between lower cost and lower risk?
