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Logistics, information exchange, and people all influence the capability and contribution to profits of the supply chain. Understanding how to analyze the current state, and set a strategy to achieve the desired end state is critical to success in the market place. This paper will focus primarily on the acquisition of components for a manufacturing/assembly operation. However, the principles and processes described can be applied to other segments of the chain, such as from the manufacturer to the customer, or to other components of manufacturing such as maintenance, repair and operating (MRO) supplies.