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Darden and Offshoring the Supply Chain

Words: 317 Length: 1 Pages Document Type: Essay Paper #: 75183286

Outsourcing some part of business operations can have benefits in the supply chain, as shown for example in the Darden supply chain, where the cutting of salmon to the proper sizes for its restaurants and the peeling of shrimp are both outsourced to offshore companies because those companies provide what Darden requires at higher quality, to specifications and at lower cost than can be had at domestic suppliers or domestic restaurants (Heizer, Render & Munson, 2016). Thus following a strategy of outsourcing can reap benefits for a business that understands the options that globalization opens up for the company. With transportation and technology so advanced today, oversight and on-time delivery are much more readily achievable than in days past.
Supply chain issues that are unique for a company sourcing from 35 or more countries include transportation issues, freshness at time of delivery, cost, quality of product, and specifications being met.…… [Read More]