Reference no: EM133249270

Operations Management Mini Case Study -

The current Covid-19 Pandemic has brought about various challenges in the Supply Chain Management transactions globally, and in this regard, material supply, transport modes and cash-flow issues have arisen to un marginable proportions. Meanwhile, your organisation has to continue in business, otherwise the company may have to close down if no imports of raw materials and spare parts were to continue being imported.

Countries like Zambia that mostly, depend on imports of goods and machinery from overseas are faced with difficult decisions to make in a number of areas. In International Trade there are various methods of payment and factors that an Importer or Exporter could consider to use when making payment or selling their goods. This is important because each payment method has both advantages and disadvantages as the business transactions are done across borders, and this could be within Africa or overseas and under different legal jurisdictions for which each party may have no control over.

The aspects of either party not having total control on the business transactions creates uncertainty and thus unwillingness to enter into a business relationship whenever there were doubts as to whether a party's interests were going to be safeguarded

Required - As a Procurement Manager you are required to import some goods and you are asked by management to advise them the mode of payment which would be desirable for the imports. Discuss in detail the premise you would use to arrive at any method of payment for your overseas purchases as contained in the mini case study.