Supply Chain Relationships (Essay Sample)

Supply Chain Relationships
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Institution of Affiliation
Supply Chain Relationships
Relationships in supply chain cover a lot of ground as there are internal, transactional, tactical and strategic relationships. It is of great significance to understand that the relationships evident in the supply chain management ought to be maintained for a balance. Ideally, this suggests that too much influence in one estate might significantly undermine the effectiveness of the supply chain. In the modern sophisticated economies, the relationships in the supply chain experienced between the suppliers and customers have numerous benefits. However, there isn’t much known as far as how other constituents prevalent in the capital markets such as auditors may respond or even get affected by the supply chain relationships. In this article, the author seeks to determine whether audit firm’s supply chain is in any way linked to audit pricing and quality.
Moreover, the author examines both aspects of audit with regard to supply chain knowledge for a variety of reasons. To a great extent, the facts presented by the author are much similar to our coursework. Firstly, the relations in the supply chain are prevalent in the modern economies, and there are wealth transfers and interdependence implications experienced among supply chain partners. However, the course content primarily focuses on the performance of financial instruments as well as the operations of upstream suppliers or even downstream paramount customers in a similar supply chain relationship (Flynn, Morita & Machuca, 2011). Secondly, the coursework argues that supply chain partners might apply earnings management to determine the performance borne by their respective customers or suppliers. Entirely, this is based on their financial performance and the earning activities significantly hinders the duration of the supply chain.
The facts presented in the argument support the author’s thesis because actions, as well as programs at all government levels, might exert significant influences on the location of the supply operations. In addition, they determine their success and commitment towards maintenance of investments and physical presence in nations, localities and regions. Ultimately, this assertion clearly elaborates the ‘brain-drain’ phenomenon because relocations of headquarters and the business malaise experienced in different parts of the world that ought to be prospering by all rights. What’s more, it is rather significant to maintain trust and mutually beneficial relationships with core customers and suppliers. Interestingly, the reliance on suppliers to major customers differs across supplier-customer pairs, and the significance of revenue cycle accounts varies across individual suppliers (Flynn, Morita & Machuca, 2011).
Ideally, there are other very successful mega-merchants who are capable of dictating processes, prices as well as terms to their suppliers through threatening to pull their businesses. However, the truth is that only few people disclose their scope of operation to their suppliers while the greatest majority resolve to developin...