![]() ![]() The terms of the contractual relationship should not be left only to the contracting, purchasing, or business development functions. The contracting function of a supply chain entity often does not have detailed knowledge of what is required from the company’s engineering function to make a contractual relationship successful and profitable. Management must direct careful attention to the contract negotiation and formation process to ensure that a supply chain contract is profitable and achievable, particularly if the supply chain contract has a research and development or developmental component.
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