Identify advantages of outsourcing

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Reference no: EM133673860

CASE STUDY

Element Juice is a South African apple juice producer. Since the COVID-19 pandemic, the company has been completing some aspects of its work remotely.

Element Juice has realized that outsourcing certain elements of its production is a viable, if not preferable, option to promote the growth and development of its business beyond the crisis. The CEO has suggested that outsourcing the production of the bottles could possibly cut costs and result in a more efficient supply chain.

However, as Element Juice's supply chain manager, you need to work with the procurement manager to determine if a local supplier would be the best to source from, and weigh up the advantages and disadvantages of outsourcing.

QUESTION 1

What are the advantages and disadvantages of outsourcing in the case of Element Juice? Your response should address the following:

Identify two advantages of outsourcing and explain their impact in the case of Element Juice.

Identify two disadvantages of outsourcing and explain their impact in the case of Element Juice.

Reference no: EM133673860

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