In this assignment, you will analyze sourcing alternatives and make a recommendation to management.

Review Case 5-2, “Garland Chocolates,” on pages 126–128 of your Purchasing and Supply Management text.

In this assignment, you will analyze sourcing alternatives and make a recommendation to management. You will consider potential risks and total cost of each alternative.

Complete the following:

  • Write a 3–4–page paper that addresses the following points:
    • Analyze Shanti’s two alternatives—whether to follow a global insourcing or outsourcing strategy. For each alternative, address the following:
      • What are the potential benefits and risks?
      • What are the mitigation strategies?
      • What are the total costs?
    • Make a clear recommendation to management about which alternative is the best one to select. Provide rationale that is based on your analysis.

Use your Purchasing and Supply Management text to complete the following:

  • Read pages 115–128 of Chapter 5, “Make or Buy, Insourcing and Outsourcing.”
  • Read Case 5-2, “Garland Chocolates,” pages 126–128 of Chapter 5. Use this case study to complete the Global Sourcing Decision (Garland Chocolates) assignment, which is to be submitted by the end of this unit.
  • Read Chapter 14, “Global Supply Management,” pages 395–424.
  • Review Figure 11-2, “Target Pricing Example,” page 309. This is in preparation for the first discussion in this unit.

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