Question 1: Define the term 'supplier' in the context of business operations.

Answer: A supplier is a company or individual that provides goods or services to a business.

Question 2: List three reasons why a business might choose to work with a reliable supplier.

Answer: To ensure consistent quality, to maintain steady stock levels, and to build a good reputation with customers.

Question 3: Explain two potential risks for a business if their supplier fails to deliver on time.

Answer: The business could face delays in production, leading to late deliveries to customers. It may also incur extra costs for urgent sourcing or alternative suppliers.

Question 4: Describe what happens in a just-in-time (JIT) inventory system in relation to suppliers.

Answer: In a JIT system, a business relies on suppliers to deliver goods precisely when needed, reducing the need for large stockpiles and increasing efficiency.

Question 5: Identify two advantages of building long-term relationships with suppliers.

Answer: It can lead to better prices and terms, and ensure a more reliable supply chain.

Question 6: List three qualities that are important when selecting a supplier.

Answer: Reliability, quality of goods/services, and competitive pricing.

Question 7: Imagine you are designing a new product that requires high-quality components. Sketch a diagram of how you would visualize the supply chain, from raw materials to the final product. Label the key stages.

Answer: A diagram showing raw materials going to manufacturing, then to assembly, quality control, and finally to distribution. Labels should clearly identify each stage.

Question 8: Describe the difference between a local supplier and an international supplier.

Answer: A local supplier is based nearby, often within the same country, while an international supplier is located in a different country, often leading to longer delivery times.

Question 9: Explain how a business can evaluate whether a supplier is suitable for their needs.

Answer: By assessing the supplier’s reliability, quality standards, price, delivery times, and their reputation through reviews or references.

Question 10: Sketch a simple flowchart illustrating the process of selecting a supplier, from initial research to final approval.

Answer: A flowchart with stages: Identify needs → Research suppliers → Request quotes → Evaluate options → Conduct trials or samples → Make final selection and approve.

Question 11: Identify two ways technology can improve the relationship between a business and its suppliers.

Answer: Using online ordering systems for efficiency and sharing real-time inventory data to coordinate supply schedules.