Supplier Information And Supplier Performance Key to Managing Global Supply Chain

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Supplier Information and Supplier Performance - Key to managing global supply chainGlobalization, has forced organizations to move beyond their local boundaries and reach out to the emerging demand from different regions across the globe. Globalization has had positive impacts on businesses in many ways. However globalization brings with it the challenge of managing a global supply chain.This article focuses on two aspects viz. supplier information and supplier performance as key to managing a global supply chain.Supplier information is often distributed in different parts of the organization. However a gap is seen as far as the interconnection of this data among the various departments & geographies. This gives rise to management issues at various levels be it operational, functional or at the strategic level.

Supplier Information Management allows an enterprise to aggregate, collect and maintain the information from all distributed systems within the organization, thus enabling a consolidated view of supplier data, process status and relationships.This arrangement benefits the sourcing professionals to find new insights and opportunities. The insights on offer go a long way in risk assessment and managing supplier performance.Good supplier performance is the one of the keys that can enable firms to achieve business performance excellence. Monitoring supplier performance not only encompasses risk mitigation but also helps in prevention of problems. It also benefits the organization with,Supplier Evaluation is one of the fundamental steps to evaluate a supplier on the adaptability towards one's organization.

The basis for the evaluation of suppliers is to understand what the stakeholders expect from them.However, before choosing to measure and manage, the criteria used to evaluate the suppliers, the company's goals & objectives must be kept in mind. Of the numerous areas of supplier performance measurement, it is tantamount to select the ones that are most important viz.:Keeping a track of supplier information and monitoring supplier performance can play an important role in managing global supply chain. Some of the benefits that are on offer are as follows,