What do owners/managers require from suppliers?

Owners and managers prioritize obtaining quality raw materials for high-quality production because the quality of inputs directly impacts the end product. If the raw materials are of high quality, it enhances the final product's durability, functionality, and overall appeal to customers, leading to greater customer satisfaction and potentially higher sales. High-quality products can also help improve a company's reputation and may allow for premium pricing strategies.

Quality is a critical consideration in supply chain management, as it can affect operational efficiency and product integrity. In contrast, while more frequent deliveries can help manage inventory and reduce shortages, these aren't as universally essential as ensuring raw material quality. Relying solely on local suppliers can limit options and may not always guarantee quality or cost-effectiveness. Additionally, requiring suppliers to change prices regularly is generally not desirable; stability in pricing is often preferred for budgeting and planning purposes. Thus, focusing on the quality of raw materials aligns best with the primary needs of owners and managers in production settings.