DEF Company receives several proposals for the manufacture of a sub-assembly used in an important...

Vendor: ISM
Product: CORE
Update on: Oct 18, 2025
Questions: 312

ISM CORE Question Answer

DEF Company receives several proposals for the manufacture of a sub-assembly used in an important product line. All of the responding suppliers indicate they plan to subcontract part of the work in order to meet high seasonal demand. Most of the proposed subcontractors are located in low-cost offshore locations. The supply manager is concerned that the subcontractors may not adhere to DEF's standards for fair labor practices. Which of the following is the BEST way of ensuring that the suppliers' subcontractors maintain fair labor practices?

Require advance approval of all subcontractors by DEF's supply manager

Offer incentives for suppliers to monitor their subcontractors' compliance

Include a contract clause stating subcontractors must meet DEF's standards

Provide copies of DEF's standards as attachments to all future solicitations