Commodity contracts are often awarded on the basis of price. A price-based methodology for making such awards fails to consider the suppliers' ability to minimize the risk of non-performance in terms of cost, schedule, or customer satisfaction. Literature suggests that nearly all risk in the delivery of commodities is in the interfacing of nodes within a supply chain. Therefore, commodity suppliers should be selected on the basis of their past performance, ability to identify and minimize risk, and capacity to preplan the delivery of services.
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- Partial requirement for: M.S., Arizona State University, 2012Note typethesis
- Includes bibliographical references (p. 141-148)Note typebibliography
- Field of study: Construction