Supplier Evaluation

1. evaluation strategy

1.1. When evaluating different suppliers it is important to know which type of supplier is best suited to work alongside your company. When choosing a supplier you should use the following 10 C’s which are used to model the evaluation of suppliers.

1.1.1.  Competency.

1.1.2.  Capacity.

1.1.3.  Commitment.

1.1.4.  Control.

1.1.5.  Cash.

1.1.6.  Cost.

1.1.7.  Consistency.

1.1.8.  Culture.

1.1.9.  Clean.

1.1.10.  Communication.

1.1.11. By using these 10 C’s you are able to focus on the issues that are important for your business. These are areas of the relationship that you should focus on. By using these 10 C’s you are able to focus on the issues that are important for your business. These are areas of the relationship that you should focus on.

2. criteria for evaluation

2.1. When evaluating suppliers you could use the following criteria.

2.2. Establish performance indicators

2.3. Classify multiple suppliers and vendors

2.4. Devise an evaluation method

2.5. Determine whose calling the shots

2.6. Maintain good relationships

2.7. Decide when to issue a red flag

2.8. Cut loose weak links

2.9. These steps can be used when dealing with different suppliers and how to act accordingly.

3. evaluation methods/approaches

3.1. There are different methods and approaches that can be used when evaluating supplier’s performance measurements and metrics. The following are methods that can be used.  Quality level  Service level  Correct quantity  On time delivery  Cost and price of product  Willingness to share sensitive information  Flexibility and response time  Communication options such as email, phone, fax, face to face.  Quick response time in case there are emergencies.  Willingness to change products. These are some methods that can be used to evaluate different suppliers and to determine which supplier is best suited for your business.

4. goals of supplier evaluation

4.1. The evaluation and selection of suppliers are very important issues for every organization. The goals for evaluating suppliers is to be able to determine and select suppliers that will best suit your company. Some organizations may need suppliers who have top notch customer service so that they will be able to communicate quickly and smoothly to be able to fix a situation. Some businesses may rather not need much customer service and only the best price so they may choose a supplier with a lower price because deadlines and extra requests may not be as important to their business. So when examining different suppliers it is important to know what type of attributes are important to your company and what you are looking for in a supplier. All companies may require different goals so this evaluation of suppliers is to try and find the best suitable supplier for your business.