Final answer:
The term 'silo mentality' refers to the narrow-minded approach of focusing solely on one's own department or company without considering the larger supply chain or business environment. It can lead to less optimal decision-making and operations within a supply chain.
Step-by-step explanation:
Failing to see the big picture and acting only in regard to a single firm in the supply chain can be referred to as silo mentality. This mentality is when a firm or department does not want to share information with others in the same company. This approach can lead to suboptimal outcomes for the supply chain as a whole because it focuses on information that confirms existing beliefs and ignores the larger context in which the business operates. This behavior is counterproductive in environments that require cross-functional collaboration and holistic decision-making. To make more effective decisions, it is important to consider not just one's own interests but also the interests of others, which relates to the broader impact that decisions can have.