ABSTRACT
Operated legally and ethically, vendor compliance programs are an effective means of bringing operational efficiencies to the table as well as providing a foundation for the detection and determination of suspected fraudulent activities by suppliers and the Vendor compliance and contractors of customers, in collaboration and acting on their own. When service companies conspire to set prices, there may not be as much pressure on the part of the conspirators to perform for competitive purposes. The need for retailers to reduce costs through supply chain optimization and efficiency is considerable. Retailers have the ability to establish chargebacks and set fees that should be based on the true cost of correction and can include the cost of administering the chargebacks. costs individual suppliers from thousands to millions of dollars per year in excessive expenses that are eventually passed along in the price as they become part of the cost of goods sold when factored into the supplier's operating costs.
