Which process is primarily undertaken to structure relationships with suppliers?

The sourcing strategy is primarily undertaken to structure relationships with suppliers because it involves the overall approach and plan for acquiring goods and services. This strategy includes selecting suppliers that align with the organization's goals, evaluating their capabilities, and determining the best methods for establishing and maintaining relationships with them. An effective sourcing strategy takes into account factors such as supplier performance, compliance, and risk management, ensuring that the organization works with the best suppliers to fulfill its needs.

In contrast, while supplier and customer management indeed plays a role in maintaining relationships with current suppliers, it is more about the ongoing management rather than the initial structuring and strategic decision-making involved in sourcing. Execution focuses on delivering on the agreements already made, making progress in operations and processes, rather than developing initial supplier relationships. Contract negotiation is a crucial part of finalizing agreements with suppliers but is a subset of the larger process encompassed by the sourcing strategy. It does not address the broader planning and strategic considerations required to establish effective supplier relationships from the outset.