10. The Benefit(s) of outsourcing is/are: Economies of scale Risk Pooling Reduced (shared) capital investments Allows a focus on core competencies Increased flexibility All of the above 11. The major challenge(s) in Supply Chain Managem Matching supply and demand. Supplying / managing inventory from vendors. Forecasting Demand uncertainty. Risk (outsourcing, lean, etc.) All of the above 12. Why are supply contracts important? .