DB 3 SCM

Within the Discussion Board area, write 400–600 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas.

The chief executive officer (CEO) of your firm is being asked to approve a major expenditure for a new warehouse. Before he approves it, you were asked to discuss with him an alternative he has heard of: public warehousing. Prepare a short discussion covering the following specific points:

• What exactly is public warehousing?
• What are the pros and cons of using it?
• What is the range of services they typically offer?
• If the objective is to avoid the cost of building and staffing a new warehouse for the firm, which of these services, or others as well, would you ask the public warehouse to perform for you? Why?
• What is the downside of using public warehousing