Coordination requires every stage of the supply chain to focus on
A)the functional revenues for each supply chain member.
B)the functional profits for each supply chain member.
C)the functional costs for each supply chain member.
D)supply chain surplus.

Question

Quizplus · Accepted Answer

Coordination in a supply chain requires every stage to focus on maximizing the overall supply chain surplus, rather than just their individual functional revenues or profits or minimizing their functional costs. Maximizing the supply chain surplus involves achieving a balance between the costs and benefits of supply chain activities that result in the highest net value created for the supply chain as a whole.

Coordination Requires Every Stage of the Supply Chain to Focus