A bottleneck supplier consistently poses a risk of shutting down a company's production lines due...

Identify the Problem: The supplier is causing production shutdowns due to delivery issues, indicating dependency on a single source for critical parts.

Evaluate Solutions:

Daily Meetings: Managing the supplier's production schedule closely may help in the short term but doesn't address the root cause or reduce dependency.

Expediting Fees: Paying for expedited delivery increases costs and is not sustainable.

Financial Penalties: Imposing penalties can strain relationships and doesn't solve the supply risk.

Qualify More Suppliers: By identifying and qualifying additional suppliers, the company can reduce dependency on a single supplier, ensuring continuity of supply and mitigating risk.

Implement the Best Solution: Qualifying more suppliers is a strategic long-term solution that diversifies the supply base, improves resilience, and provides alternatives in case of issues with the primary supplier. References:

Supply Chain Risk Management Principles

Supplier Relationship Management Practices

Best Practices in Sourcing and Procurement