How do you measure a supplier’s performance? How do you collect the data? What are you truly trying to achieve – compliance? Improved performance? Greater contribution? What does success look like?
For suppliers achieving less than you might want, how do you structure supplier performance management? What tools can you use?
- How does this fit with Strategic Supplier Relationship Management?
- Do you have a formal process for managing supplier performance?
- How do you develop effective KPI’s?
- Who should be monitoring/measuring performance against KPI’s – Procurement or Stakeholders?
- The carrot or the stick – which is more effective?
- What sort of incentives are participants using?
- What sort of penalties are participants using?
- When do you walk away?
- What tools do you use to help measure supplier performance?
Peter Macfarlane. Peter is Managing Director of Grosvenor Procurement Advisory. He is a frequent facilitator for PASA Connect and often attracts some of the highest feedback ratings throughout the PASA network.
Example SRM Profiling Frameworks
During the round-table Peter shared slides of various SRM categorisation frameworks. You can download the slides here
Peter has also added a slide with the links to the studies mentioned – 2016 & 2017 (plus some other useful stuff). You will need to include your details (including email) to download the studies.
If you prefer Peter has offered to send a copy directly. Please email him if this is your preference.