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ABC, Inc. has a supply management department responsible for placing orders. In spite of this, a designer from ABC's engineering department places an order with Supplier X for several products.
When the shipment arrives, it is rejected by the receiving department, as they cannot verify the order with supply management. To avoid this situation, the designer should have
Which of the following refers to a method of formally evaluating suppliers, conducting site visits, and providing supplier training?
A company buys electronic connectors in lot sizes of 5000 units at a price of $1.00 per unit, including freight. This connector has an annual usage of 80,000 units. The carrying cost is 25% per year. Assuming a constant consumption rate, what are the annual carrying costs for the connectors?