The use of contract, named and enterprise scorecards allow for the capture of on-going weighted performance category and key performance indicators, measured on a timely basis. Information and scores inserted by both buyers/contract managers and suppliers can be reported on and viewed as a graphical representation, allowing trends in performance to be measured over time.

An organization has the ability to consolidate the performance of each supplier and category by the use of scoreboards. A scoreboard can be created containing a collection of scorecards with defined weights which when combined will yield a final scoreboard score.

BENEFITS OF SUPPLIER PERFORMANCE MANAGEMENT

Process efficiencies

Manual scorecard creation and review is time consuming and labour intensive. Supplier Performance Management technology accommodates both automated and manual scorecard generation and processing along with automated data capture from multiple information sources, freeing buyers and managers from time consuming manual processes.

Knowledge-inconsistent metrics

Supplier Performance Management allows an organisation to implement company-wide performance and compliance processes, proactively measuring their entire vendor base against agreed enterprise or contract uniform metrics.

Visibility – greater number of vendor performance and compliance under management

Supplier Performance Management allows the organisation the ability to standardize, capture and make visible vendor performance data and compliance across their entire supply base.

Connecting internal stakeholders and supply base in performance expectations

Supplier Performance Management facilities buyers and managers to effectively collaborate with both their internal stakeholders and vendor base ensuring that performance expectation are clearly defined and monitored, allowing for immediate action should any issue impacting the vendor performance arise.

Taking corrective actions

Following identification of under performing vendors the buyers has the ability to initiate a process driven corrective action plan, allowing them follow a best practice approach working with the vendor to improve their performance score and rank.

Unlock service credit / penalties

As Supplier Performance Management facilitates structured and continuous monitoring of vendors, the buyer has the relevant data necessary to track performance against the agreed target values within a contract, unlocking any exceptions which incur a service credit or penalty.

Tender management

Continual scorecard assessment and KPI monitoring of both enterprise and contracts, allows trends to be monitored over time and viewed using sophisticated graphical representations.