Dual Sourcing

Dual Sourcing is a risk management strategy where a company uses more than one supplier for a specific product or component.

This reduces dependency on a single supplier and mitigates risks like supply disruptions or price fluctuations.

By diversifying their supplier base, companies can ensure a more reliable supply chain and reduce the impact of unforeseen events like natural disasters or political instability.

For example, an automotive manufacturer might source key components like engines from two different suppliers to avoid production delays if one supplier faces issues.

Relatico helps companies manage relationships with multiple suppliers, ensuring that dual sourcing strategies are effectively implemented and monitored.

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