Criteria for Selecting a Supplier Management Solution
The supplier management solution that you choose will depend on the size and complexity of your organization. It is important to consider what type of supplier data you need, as well as how much supplier information you want to collect.
There are many different features offered by supplier solutions, such as supplier performance tracking, vendor onboarding/offboarding, and supplier risk assessment.
We’ll go over each one in detail so that you can decide which one is right for your company!
Finding the Right Supplier Management Solution
Finding the right supplier management solutions for your organization can be a difficult task.
The supplier management solution you decide to use will depend on the size and complexity of your organization, as well as what type of supplier data you need, how much supplier information you want to collect, and which features are most important for your company’s needs.
You should take into account questions like: “What is my budget?” or “How many suppliers do I manage currently?”. Once these have been answered, we can help find an appropriate supplier management solutions for your business.
There are lots of different options available when it comes to selecting supplier management software including cloud-based applications that give access from anywhere with internet connectivity – perfect if your team is always on the go! These types of supplier programs can also be used on any device, which is a great benefit for those who work from multiple locations.
Features Offered by Supplier Management Solutions
Supplier management solutions can offer different features based on your company’s needs. Some examples include: supplier performance, supplier reviews and ratings, supplier search capabilities, supplier onboarding process automation, customer feedback loops to suppliers/supplier ratings reports for customers etc.
Supplier programs also have the added benefit of automatically scheduling purchase orders or sending reminders for overdue payments. The more complex a business is with its supply chain – whether that be in size or geography – the better it may need an advanced solution which includes goal setting and forecasting tools as well as resource mapping functionality so you know where to allocate resources at any given time.
How Do I Choose A Good Supplier Management Solution?
Selecting a good supplier management solution is an important decision for any supplier, customer or distributor. It can have a significant impact on your company’s efficiency and success as you continue to grow.
Here are some tips to help with supplier management selection:
– Make sure it is enterprise grade software which will provide the stability you need at all levels of complexity in your supply chain – whether that be by size or geography.
– Ensure the supplier has access to multiple vendors so they are not limited just one supplier partner who may be difficult to contact under certain circumstances such as natural disasters and large scale emergency response events where suppliers in other parts of country/world could offer assistance if needed.
– Identify whether there is integration capability between accounting systems, ERP system(s), and supplier management system.
– Know the supplier’s methodology for supplier assessment: how they screen suppliers, what their criteria is, etc.
– How does this supplier manage risk? What are the means by which it monitors supplier quality and product safety? What steps has it taken to reduce its supply chain risks over time?
Vendor On and Offboarding
– Know supplier on and offboarding process. What is the supplier’s methodology for supplier assessment? How does this supplier manage risk? What are the means by which it monitors supplier quality and product safety, etc.?
Vendor Software Integration:
– Identify whether there is integration capability between accounting systems; ERP system(s); and supplier management solutions, especially if these vendors use different software applications. Do those integrations work well in practice or do they require a lot of IT support/upgrades to keep them running smoothly over time?
Product Quality Monitoring Processes:
– Does the vendor have an integrated monitoring solution that helps with managing compliance risks related to foreign suppliers (i.e., China) as well as supplier risk management?
Compliance and Risk Management:
– What is the vendor’s methodology for supplier assessment? How does this supplier manage risk? What are the means by which it monitors supplier quality and product safety, etc.?
Supplier Risk Assessment
– Where does the supplier company fall in terms of supplier risk? Does it have a high, medium or low quality supplier classification based on potential for safety/compliance issues. Has the vendor’s assessment process been validated by an independent third party supplier audit (i.e., UL Safe Quality)?
– How well is talent management handled at this organization and what are its processes for ensuring that suppliers can meet their staffing needs? Is there any integration with other HR systems (i.e., SAP) to help manage workforce planning more effectively over time?