Question

What are some advantages of centralization of your supply

structure?
a. strategic focus
b. lack of business unit focus
c. excessive cost
d. answer not provided

Answer 1

The advantages of centralization of your supply structure in business include strategic focus and lower costs.

Step-by-step explanation:

The advantages of centralization of your supply structure in business include strategic focus and lower costs.

1. Strategic focus: Centralizing your supply structure allows for better coordination and alignment of resources, leading to a clearer strategic direction for the organization.
2. Lower costs: Centralization can result in economies of scale, allowing for bulk purchasing and greater negotiating power with suppliers, which can lead to cost savings.

On the other hand, the disadvantages of centralization include lack of business unit focus and potentially reduced agility in responding to local market conditions.