The approach that holds the suppliers responsible for maintaining necessary technology and forecasting ability is known as what?

The correct approach that holds suppliers responsible for maintaining necessary technology and forecasting ability is known as supplier partnerships. This approach emphasizes collaboration and long-term relationships between a company and its suppliers. In a supplier partnership, the supplier is seen not just as a vendor but as a critical ally in the supply chain, and both parties work together towards shared goals.

In supplier partnerships, suppliers are encouraged to invest in technology and improve their forecasting capabilities, which enhances the overall efficiency and effectiveness of the supply chain. This mutual investment fosters innovation, reduces lead times, and typically leads to better quality products or services. This is quite different from simply relying on many suppliers, where the focus may be on price and competition rather than collaborative success.

Other models, such as single supplier or many suppliers, may offer benefits to a company, but they do not inherently establish the same level of responsibility or collaboration regarding technology and forecasting capabilities. Similarly, joint ventures may involve pooling resources but do not specifically target supplier capabilities in the same way that strong partnerships do. Thus, the best approach that embodies the required responsibilities of suppliers is supplier partnerships.