Supplier Management, One Voice to the Supplier

In small or large buying organisations, it is important to define a single contact window responsible for Supplier Management.  Through the supplier’s life cycle, there will be multiple contact windows communicating with the supplier across various departments within the buying organisation, ensuring there is only one voice, one supplier owner amongst all stake holders and departments is critical in establishing a robust process and long-term relationship.

The supplier owner must set the framework in which all cross functional teams operate with a goal of communicating one message which stops conflicting messages going to the supplier or the supplier delivering different messages to various departments in the buying organisation to their benefit.

The framework is built across critical business functions with department heads been the key stakeholders.  The supplier owner must ensure the framework delivers business governance and commercial boundaries with buy-in from all stakeholders.

With the framework set, it is the supplier owner and department heads role to deliver the policy and objectives of the framework.  Where conflicts of interest occur, it is the supplier owner’s responsibility at a higher level to adjudicate and make the final decision.

Supplier score-cards are essential tools to ensure all stakeholders grade a supplier’s performance against reportable and transparent measurables to form a total picture of the suppliers’ ability and ranking against other suppliers.  The supplier owner as the leader of supplier management will use this to define the supplier matrix and necessary corrective action plans that build a continuously improving supplier network.

Read more about Supplier Matrix; http://wp.me/p7z4o2-GV

Read more about Score Carding; http://wp.me/p7z4o2-H8

At a simple level where there are multiple players with a voice to a supplier, there is inevitably conflict which disrupts the process and can lead to the supplier failing; this cost the buying organisation and the longer-term supplier partnerships.

The leader of the supplier community drives the sourcing strategy through the supplier network that delivers business objectives.

Read more about Sourcing Strategy; http://wp.me/p7z4o2-GP

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