1 - The problem here is that the existing supplier is not able to supply the required

material due to supply constraints. In this condition, there are two options available
to the Clayton, as follows

a) End relations with Sarah and look for other suppliers. Search for other supplier
who can supply material within the desired duration. This can be done through the
process of competitive bidding

b) Continue relationship with the existing supplier and search for other suppliers
for serving the immediate demand of the fabric.

2- The trade-off for each decision are as follows:

Option 1

a) More options to chose suppliers

b) Potential of choosing a low cost supplier for long term relationships

However, it is a time consuming process and will affect the existing relationship
with the current fabric supplier. New supplier carries more risk in comparison to
existing suppliers.

Option 2

a) it will maintain the relationship with existing supplier of fabric, as well as fulfill
the current demand
b) Work will run smoothly and will strengthen long term relationship with the
existing supplier.

However, managing two suppliers will be difficult and time consuming. Since, the
quantity will get divided, there will be lesser quantity discounts.

3 - Clayton first ask to Sarah that some other supplier like her that he can found in
a day or two, Supply of fabric is essential to complete the order in over the month.
He must have to get outside and find another supplier of fabric until Sarah can find
fo him.

4 - This case give us a lesson to have adequate supply and to have some optional
reliable source to depend on that they could satisfy the urgent need of the raw
material and also in-house production that could indeed reduce reliability over the
supplier which can be risky in some situation like this.
McNulty’s Muscular Materials (MMM) has two potential options to manage to
provide the number of fabric required.
Firstly, Sarah Holden has cannot produce fabric and thus this needs Clayton to act
fast and establish bidding which is able to help source for the suppliers. Bidding
will involve a various number of suppliers sending their quotations to provide
material to create the 10,000 jerseys as required. it's sufficient to note that this
might help include a list of suppliers with proven reliability which can supply the
fabric in low amounts until the target is achieved.
Secondly, Clayton might just look for one supplier and enhance the link they have
with Sara. The implication here is that Clayton should only seek one supplier that
should provide for the excess that Sarah can't achieve. One of the benefits of this
feature is that it will help save the time which can be undertaken to prove if the
number of suppliers selected are reliable and may deliver consistently with their
mandate. By focusing to merely have one supplier then the company will have
enough time to take a position effort and ascertain if they'll deliver.

The trade-offs for the primary option are that the company includes a myriad of
options to choose out suppliers, low-cost suppliers, longer consumption, and
increased risks. Markedly, between alternative and time consuming, it's due to the
review process that the company will undertake to see the reliability and level of
competency that suppliers have. The suppliers will represent a myriad of suppliers
with different costs and even some might provide lower costs to win the bid.
additionally, the trade-offs for the second option include high costs, quick
workflow, offering products in less time, and building a robust relationship. this
will be because the company only depends on Sarah and also the opposite single
supplier that will provide the surplus fabric.
Clayton should be able to consider the second option. The second option will prove
more reliable for the company because of the working relationship that the
company will build with suppliers. Secondly, the second option also enhances the
pliability of the company to increase the responsiveness of their customer
demands. Responsiveness relates to the flexibleness of the organization to reply to
the needs of shoppers within the specified timeframe. Through building a strong
relationship with the suppliers it'll be possible for Clayton’s firm to both agrees on
the precise demands of the clients within the specified period. Therefore, this
solely requires a relationship, trust, and also the involved parties are motivated by
the reciprocity of trust.

One of the teachings is that relationship management is also a vital tool in supply
chain management. Although sometimes building relationships demands
commitment from both the supplier and also the manufacturer helps in delivering
the desired results. during this case, the customer has very precise demands and
within an extremely short period. Secondly, most companies might find it difficult
to bolster agility when faced with situations like tight deadlines and so they must
meet customer-specific demand. Being agile could be a vital aspect for any
organization which will enhance success especially in an exceedingly bid to see a
strong brand for the organization. Enhancing agility rather than forecasting is even
more important in supply chain management. this enables acing fast and
responding to demands appropriately.