Categories of Supplier
Manufacturers and Vendors When you work with manufacturers and vendors, you’re working with the source of the supply chain. They research, develop, and produce the product you purchase. Effectively, sourcing […]
Need for measuring supplier performance
Price-based metrics The most fundamental aspect of assuring value is making sure that the supplier hits your price requirements. These can be gleaned through simple interactions as well as formal […]
Vendor Development
1. Identify critical commodities for development: This is a portfolio analysis which states that not all organisation required to go for vendor development which are already using sourcing facilities from […]
Vendor Selection
The first step towards selecting an Indian vendor is to analyze your business requirements. After the task of searching and selecting a prospective Indian vendor, you must develop a contract […]
Vendor Rating
Vendor Rating (also called: supplier rating) is a system used by buying organizations or industry analysts to record, analyze, rank and report the performance of a supplier in terms of […]
Sourcing vs. Procurement
Procurement Procurement is the full process of sourcing and then using suppliers to gather all the materials you need for your products, services, and indirect costs. It involves placing orders […]
Sourcing Activities
Steps The steps in a strategic sourcing process were defined, in 1994, as: Assessment of a company’s current spending (what is bought, where, at what prices?). Assessment of the supply […]
Risks to considered by purchasing Manager
Poor Internal Needs Analysis When a department or business unit identifies the need for a product or service, it kicks off the procurement process. The risks here are somewhat obvious: […]
Purchasing Cycle
For companies of all sizes, from local small businesses to global Megacorps, the purchasing cycle begins with needs analysis and ends with payment and record keeping. In between, they may […]
