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Overview/Description
Evaluating the performance of your suppliers and maintaining mutually fulfilling relationships with them are essential activities in supplier relationship management. There are many types of supplier-related problems that you may have to deal with, and effective purchasing personnel use key performance criteria to analyze and track their suppliers' performance. Analysis of supplier performance can help you ensure that your company is getting the best value and service from suppliers, and detect areas in which corrective action needs to be taken. Effective performance...
Overview/Description
Purchasing and vendor management are important organizational functions. An organization's purchases account for a large share of its total costs. The changing nature of today's business environment and the move toward decentralization have extended the purchasing function to departmental levels so that it also includes non-purchasing professionals. Regardless of their specific roles, many managers and team leaders have purchasing and vendor management responsibilities. These individuals must understand the purchasing process and have a general knowledge of common...
Overview/Description
Your organization's purchases probably account for the largest share of its total costs. Having a clear understanding of your product and service requirements and conveying those requirements to the right suppliers may result in huge savings for your organization. But finding the right suppliers takes effort. First you need to identify the best available suppliers based on reliable information and research. Then you need to prepare a solicitation document, such as a Request for Proposal or Request for Quotation, and send it to the qualified suppliers. This course...
Overview/Description
One of the most important steps in the purchasing process is to select the supplier that best meets your organization's purchase needs. To help with this part of the process, organizations develop supplier evaluation criteria and use tools designed to conduct a comprehensive and objective evaluation of suppliers. Once the supplier is chosen, the next step is to formalize the deal through a contract that outlines the terms of the supplier-buyer relationship. Reaching agreement with suppliers over contract terms requires purchasers to be effective negotiators. This course...