Final answer:
The approach that links a company with its raw material providers to manufacture a product or service is known as supply chain management. It encompasses coordination across the entire production and distribution process. Hence, option (a) is correct.
Step-by-step explanation:
The approach that links a company with providers of the raw components it needs to make a product or service and manufacture that product or service is known as supply chain management. Supply chain management involves a series of activities and organizations involved in moving a product from supplier to customer. It includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers.
The goal of supply chain management is to optimize the entire production flow of a good or service from raw materials to final products, to minimize waste, and to make production as efficient as possible.
Procurement strategy involves the process that businesses use to acquire goods and services. It entails selecting vendors, establishing payment terms, strategic vetting, and negotiation of contracts. Outsourcing is the practice of using outside firms to handle work normally performed within a company, is a familiar concept to many entrepreneurs. Offshoring the process of moving some of a company's operations overseas to access cheaper labor markets is related to outsourcing as sometimes these outside contractors may be abroad.