Advantages of VU enabled supply chain management
It is first deemed necessary to find out the advantages regarding the use of VU supply chain management. The advantages could be in terms of greater selectivity of vendors, better bargaining powers (since many vendors are outsourced) and this result in better cost savings and more profits.
The other advantages could be that since a large database of VU vendors is created, their products and services could be utilised during urgent requirements or non-standardised items not easily available. In the case of an order received for special custom made garments, the services of needed vendors could be easily retrieved and gainfully put into use.
Disadvantages of VU enabled supply chain management.
The major disadvantages would be in terms of reliability and quality considerations. Since most of the vendors are derived from internet sources, their background and trustworthiness may need to be tested. Again, it is seen that there may be doubts regarding order servicing, timely delivery and meeting the customers’ requirements and specifications regarding the garments. If disputes or disagreements arise, it may lead to loss of future business. By far, the most important aspect is the absence of personal contact, which may be the vanguard of business dealings. It is seen that the Supply chain system, especially using Just in methods, relies heavily upon personal rapport and cooperation, which may not be readily available in VU transactions.