Which of the following strategies can be used to help manage global risks?

Which of the following strategies can be used to help manage global risks?
A . Direct shipment
B . Cross-docking
C . Mass customization
D . Flexibility

View Answer

Answer: D

Explanation:

Managing global risks requires strategies that allow a supply chain to adapt quickly to unexpected changes or disruptions. Flexibility in the supply chain can help manage global risks by enabling companies to adjust their operations in response to unforeseen events, such as natural disasters, geopolitical tensions, or changes in market demand. This might involve diversifying suppliers, utilizing multiple transportation modes, or adopting flexible manufacturing systems.

Direct shipment refers to sending products directly from supplier to customer, which might not address broader global risks.

Cross-docking is a logistics practice that involves unloading goods from inbound transport and loading them directly onto outbound transport, without warehousing. It optimizes efficiency but does not inherently manage global risks.

Mass customization is a production strategy that combines elements of mass production and customization but does not directly address global risk management.

Reference: Chopra, S., & Meindl, P. (2016). "Supply Chain Management: Strategy, Planning, and Operation."

Sheffi, Y. (2005). "The Resilient Enterprise: Overcoming Vulnerability for Competitive Advantage."