Logistics Management. Supplier Evaluation at EADS Company Case Study

Logistics Management. Supplier Evaluation at EADS Company - Case Study ExampleThe company recorded a sales ledger of approximately 30 billion, a figure only dwarfed by its biggest competitor in the aerospace market, which recorded approximately 40 billion worth of sales. Other competitors followed about with sales averaging between 10 billion to 20 billion. Most of the companys sales came from Europe and North America and therefore the company intend on making adjustments to improve sales in the Asian and South American regions.The companys main clientele comprised of major airlines around the globe. These airlines occupied the business strategy of increasing purchases in order to get price reductions based on traded volumes. The nature of the aerospace industry was such that value addition on merchandise was capped at between 25%-35%. Therefore, the organizations that were tasked with supplying these products formed an integral part in developing competitive advantages for EADS a nd other companies in the industry. They to boot became a potential advantage for reducing expenses and risk besides enhancing revenues.Suppliers in the Aerospace IndustryThe nature of the aerospace industry demanded that suppliers provide goods and merchandise of the highest quality. The goods needed to be durable, and had to accept some specific quality requirements.