What is meant by Supplier evaluation?
The term "supplier evaluation" refers to the process of assessing and reviewing the performance and reliability of suppliers based on specific criteria and key performance indicators (KPIs). The goal is to identify the best suppliers, minimize risks, and improve the quality of the supply chain.
Typical software functions in the area of "supplier evaluation":
- Criteria Management: Defining and managing the evaluation criteria for suppliers.
- Data Integration: Integrating data from various sources for comprehensive supplier performance evaluation.
- Scoring and Ranking: Automated scoring and ranking of suppliers based on defined KPIs.
- Reporting: Creating detailed reports and analyses on supplier evaluations.
- Feedback Management: Capturing and managing feedback from internal stakeholders regarding supplier performance.
- Risk Assessment: Identifying and assessing potential risks associated with suppliers.
- Performance Monitoring: Continuously monitoring supplier performance and reliability.
- Communication: Automated notifications and communication of evaluation results to suppliers.
- Contract Management: Linking evaluation results with contract management to review and adjust supplier contracts.
- Dashboards and Visualizations: Providing visual representations and dashboards for easy interpretation of evaluation data.
Examples of "supplier evaluation":
- Quality Assessment: Evaluating the product and service quality of the supplier.
- Delivery Reliability: Analyzing the punctuality and reliability of deliveries.
- Cost Efficiency: Assessing the cost structure and economic efficiency of the supplier.
- Flexibility: Evaluating the supplier's ability to respond to changes in demand or specifications.
- Innovation Capability: Assessing the supplier's ability to offer innovative solutions and improvements.
- Sustainability: Evaluating the supplier's environmental and social responsibility.