Need Supplier Management and Procurement Training? Try these resources.

Supplier management and procurement refer to the processes of identifying, evaluating, and selecting suppliers, and managing the relationship with those suppliers to ensure that they can provide the goods and services that are needed to meet the organization’s objectives.

Some key elements of supplier management and procurement include:

Identifying and evaluating potential suppliers: This involves researching and identifying potential suppliers, and evaluating their capabilities and capacity to meet the organization’s needs. This may include considering factors such as quality, cost, delivery, and reliability.
Selecting suppliers: Once potential suppliers have been identified and evaluated, the next step is to select the most suitable supplier or suppliers. This may involve negotiating terms and conditions, such as price, delivery schedule, and payment terms.
Managing the relationship with suppliers: Once a supplier has been selected, it is important to manage the relationship in a way that ensures that the supplier is meeting the organization’s needs. This may involve regular communication, performance monitoring, and the resolution of any issues that arise.
Procurement: Procurement refers to the process of acquiring goods and services from external suppliers. This may involve issuing requests for proposals (RFPs), negotiating contracts, and placing orders with suppliers.

Overall, supplier management and procurement involve identifying, evaluating, selecting, and managing suppliers in a way that ensures that the organization has access to the goods and services that it needs to meet its objectives.

In this Procurement training we included strategic sourcing, negotiations, supplier selection and supplier management. The information found here goes from basic to experienced professionals. There is something for everyone. This video is a basic introduction into procurement. If you are a procurement professional jump to the procurement training below which is much more advanced.

Negotiation and Procurement Training

What is Procurement Negotiations?

What is Payment for Procurement Agreement.

What is Production Planning.

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Supplier Management and Development Training.

Evaluate Supplier Performance.

In order to get the most out of suppliers it is important to decrease the supplier base and work closely with existing suppliers. Use the following information to evaluate supplier performance.

PRIMARY MEASURES

Price
Financial Feasibility
Attitude
Training Resources
Facility Location
IT Resources
Capacity
Speed
Delivery Performance
Damages
On Time Deliveries
PO Correctness
Stock Out Frequency
Perfect Orders
Product Availability
Dependability
Number of claims/discrepancies
Labor relations

Quality
Past History
Warranties
Costing Procedures
Information Sharing
Company Reputation
Packaging Abilities
Shipping Capabilities
Cycle Time
Facility locations
Product Availability
Flexibility
Reliability
Order Cycle Time
Lead Time
Convenience
Billing Errors
Quality control
Warranties

Questions for Supplier Development/Management

Works closely to lower overall costs
Provides market/product knowledge/information along with service and support
Supplier identifies opportunities to decrease costs and suggests ideas on ways to improve the supply chain.
Performs joint cost-reduction/quality improvement programs
Supplier can deliver products across various geographic regions
Shares data and supplies resources to locate and solve problems.
Deliveries meet deadlines and do not need to be expedited to meet delivery time.
Supplier readily shares cost information.
Recognizes potential opportunities to incorporate new ideas.
Supplier is involved with product in early stages of design
Supplier implements procedures for controlling fluctuations in raw material costs
Provides technical support for production/quality problems
Supplier gives ideas and suggestions during initial stages of product development
Proactive in offering innovative and alternative technologies
Supplier is proactive in finding problems and discovering solutions
Supplier gives feedback on quotations to reduce costs
High interest in joint problem solving.
Reacts quickly and effectively to problems and proactive to finding solutions
Supplier is flexible and adjust to special requests when needed
Responds quickly and effectively under adverse situations.
Supplier keeps the lines of communication open and lets customers know when problems may occur
Expedites emergency orders in a timely manner
Suppliers do what they say and are trustworthy
Proactive in communicating forecasts for planning and deliveries
Suppliers’ technology roadmap aligns with the company’s current IT initiatives
Capable to exchange information through the Internet
Proactive in providing value added proposals
Supplier provides innovative suggestions for improvements and anticipates future problems
Participates in joint development efforts
Provides technological assistance and engineering support
Supplier is willing to provide rapid modeling and prototype capabilities
What is the financial feasibility of the company
What is the vendor’s reputation in the industry
Is the quality worth the price
Is the product over engineered
Does the supplier have a quality system in place
Is there a quality improvement plan in place
Does the vendor meet delivery and cycle time goals
Does the supplier try to reduce lead times
Are there processes for controlling and leveraging raw material cost

“Train your procurement organization well. This investment can save millions of dollars.”

“Strategic sourcing in the simplest terms – leveraging all resources to get the best value for the company.”

“A well trained procurement organization can add major dollars to the organization through cost savings.”

“Price is what you pay. Value is what you get.” ~Warren Buffett

“When you surround an army, leave an outlet free. Do not press a desperate foe too hard.” ~Sun Tzu

“You don’t want to negotiate the price of simple things you buy everyday.” ~Jeff Bezos