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Tuckman Model

In: Philosophy and Psychology

Submitted By aishpatel3
Words 6968
Pages 28
Overseas sourcing, without risk
Here are some rules to keep your supply chain problem-free and avoid negative publicity at home and abroad

Zero tolerance Shut the door firmly on illegal activity johnkworks/Shutterstock.com

Managing fraud and corruption risk and protecting brand reputation is becoming increasingly important when sourcing from overseas destinations. With the changing enforcement milieu, extra-territorial statutes and zero tolerance around acts of bribery and corruption, brands need to constantly monitor their supply chains.
These supply chains transcend international boundaries, with business partners (suppliers, vendors, service providers and such) being located across geographies, having different cultures and work ethics. Therefore, it is a challenge for any company to know and curb supply chain risks. To implement the code of conduct uniformly throughout the supply chain, companies have to change the mindsets of employees and business partners overseas through continuous learning and development.
Winning and expanding business overseas could be a time-consuming and arduous task in some cases. Facilitation payments and kickbacks are easy quick fixes. Many sourcing destinations are countries that rate low on the Transparency International index, where vulnerabilities around vendor kickbacks and bribery of officials are prevalent. Mounting business pressures, aggressive timelines to complete projects and high costs involved have the tendency to spur unethical activities.
Take this company, for instance
Let’s explain this with an example. Take the case of ‘A Ltd’, a parent company setting up an overseas business. The management at ‘A Ltd’ believes it has done enough to ensure a smooth run for the overseas operations, led by the business teams. With work being managed well on paper, ‘A Ltd’ becomes somewhat complacent, drawing confidence in

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