How Do Leaders Balance Cost and Quality in Material Sourcing?
Balancing cost and quality is a delicate task for business leaders. While cost efficiency is important, it should not come at the expense of quality. Leaders can achieve this balance by:
Implementing Total Cost of Ownership (TCO) analysis to understand the long-term costs associated with a supplier. Engaging in Strategic Negotiations to secure favorable terms without compromising quality. Investing in Supplier Development to help suppliers meet quality standards while maintaining cost efficiency.