Building and improving a reliable supplier matrix that supports business and category objectives is a critical tool in driving a sustainable sourcing strategy.
There are three different platforms to sourcing products. Buying organisations need to define what their business model is and how their process operates, never expect the supplier will understand your business model and process.
Why doesn’t this Chinese supplier listen to what I said or follow the instruction sheet?
Strategic sourcing is the continual improvement and re-evaluation of your vendor matrix. The vendor matrix defines a group of vendors capable of meeting business procurement objectives across category spend, capacity, quality, and sustainability.
Do you only evaluate the seller shipping or delivering the goods to your door or do you manage the full supply chain to reduce risk and build brand integrity?
Supply Chain Solutions No.22 – Shared vision, value driven attitude and adaptable, does that equal the perfect Supplier?
There are the different reason why sourcing activities need to take place, be it market research, business growth and capacity expansion, market risk and diversification or replacement of existing underperforming vendors.
Sourcing an individual supplier is only part of the sourcing equation, key success comes when you have a strategic supplier matrix that covers all product categories, brand price points and meets business goals and objectives.