or the modern business to succeed in its operation, the non-purchasing (such as engineers, production managers, etc.) personnel should be allowed to speak with their counterparts at the suppliers' department for the benefit of any organization. Although large organizations demand purchasing experts entirely holding fast to moral codes, the same is not valid for non-purchasing staff. In most organizations, purchasing is permitted by office heads or even line staff, which by-passes the purchasing division altogether. This implied suppliers’ sales unit can target non-purchasing staff to pick up sales where they may have been dismissed by the procuring unit. Directions: Develop a list of topics that non-purchasing personnel should be allowed to talk about with their counterparts at suppliers. Then, develop a list that only purchasing-personnel should be allowed to talk about with suppliers. Reflect on your lists and explain your rationale. Also, describe the risk associated with this process and why it is important to manage this risk with standard practices.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
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or the modern business to succeed in its operation, the non-purchasing (such as engineers, production managers, etc.) personnel should be allowed to speak with their counterparts at the suppliers' department for the benefit of any organization. Although large organizations demand purchasing experts entirely holding fast to moral codes, the same is not valid for non-purchasing staff. In most organizations, purchasing is permitted by office heads or even line staff, which by-passes the purchasing division altogether. This implied suppliers’ sales unit can target non-purchasing staff to pick up sales where they may have been dismissed by the procuring unit.

Directions: Develop a list of topics that non-purchasing personnel should be allowed to talk about with their counterparts at suppliers. Then, develop a list that only purchasing-personnel should be allowed to talk about with suppliers. Reflect on your lists and explain your rationale. Also, describe the risk associated with this process and why it is important to manage this risk with standard practices.

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