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What potential costs could an organization face if it fails to conduct Due diligence effectively?
Correct Answer:
Though strong due diligence procurement professionals can assess which suppliers or potential suppliers appear to meet the criteria associated with ethical practice. Prior to the contract being awarded, strong due diligence can save the organization from the following cost: 1) Cost of reputation 2) Environmental damage 3) Stakeholders dissatisfaction, 4) poor quality and rework 5) Breach of contract 6) Ethical concerns
