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PRESTIGE INSTITUTE OF MANAGEMENT, GWALIOR
P R E S E N T E D B Y:
AV D E S H D H A K A R
JYOTI
PA L L AV I T I WA R I
R O H I T K U M A R
PRESENTATIONON
Vendor management system
VENDOR
A third party that performs
function on your company behalf
of provides services, goods to your
company or the individual know
as vendor.
VENDOR MANAGEMENT
Vendor management is a discipline
that enables organizations to
control costs, drive service
excellence and mitigate risks to
gain increased value from
their vendors through out the
deal life cycle.
EFFECTIVE VENDOR MANAGEMENT
 Create an internal vendor
management practice.
 Develop a clear vision for vendor
management.
 Build strong relationship with the
rest of the organization.
1 . S C O P I N G
 Policy
 Process
 Business Requirements
2 . C O N T R A C T
 Liability
 Terms and Conditions
 Pricing
 Penalties or Rewards
3 . R E L AT I O N S H I P
 Transition Expectations
 Common Goals
 People Alignment
 Cultural Fit
CONT…..
4. SERVICE QUALITY
 Complain Management
 Issue Management
 Value and Services
5. GOVERNANCE
 Roles and Responsibilities
 Policy Management
 Change Management
 Risk Management
BEST PRACTICES FOR SUCCESSFUL VENDOR
MANAGEMENT:
Matching the vendor management
model to organizational goals &
objectives
Establishing a Selection Process
Measuring & Monitoring
Defining the Partnership
VENDOR RATING
Vendor rating is a term used in business
and refers to the process of evaluating
and approving potential vendor by
quantitative assessment. The purpose
of vendor rating is to ensure a
portfolio of best in class vendor is
available for use.
PARAMETER OF VENDOR RATING
 Pricing
o Competitive price
o Price stability
o Price accuracy
o Advanced noticed of price change
 Quality
o Conformity to specification
o Reliability
o Repair and rework
o Durability
o Support
o Warranty
CONT……
 Delivery
o Time
o Quantity
o Lead time
o Packaging
o Documentation
o Emergency delivery
 Service
o Vendor representation
o Technical support
o Problem resolution
CONCLUSION
At last we would like to conclude that vendor
management is a very essential and important
aspect or function of any organization. Vendor
management help to smooth flow of product or
service in market. Organization can rate our
vendor on different-different parameter and
select one best vendor who help to maintain a
best or effective vendor management practice in
whole organization.
REFERENCES
https://en.wikipedia.org/wiki/Vendor_management_system
www.gartner.com/it-glossary/vendor-management
www.litcom.ca/5-practices-effective-efficient-vendor-
management/
www.peoplefluent.com/products/vendor-management
www.referenceforbusiness.com › Encyclopedia of Management ›
Tr-Z
THANK
YOU

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ppt of vendor management

  • 1. PRESTIGE INSTITUTE OF MANAGEMENT, GWALIOR P R E S E N T E D B Y: AV D E S H D H A K A R JYOTI PA L L AV I T I WA R I R O H I T K U M A R PRESENTATIONON Vendor management system
  • 2. VENDOR A third party that performs function on your company behalf of provides services, goods to your company or the individual know as vendor.
  • 3. VENDOR MANAGEMENT Vendor management is a discipline that enables organizations to control costs, drive service excellence and mitigate risks to gain increased value from their vendors through out the deal life cycle.
  • 4. EFFECTIVE VENDOR MANAGEMENT  Create an internal vendor management practice.  Develop a clear vision for vendor management.  Build strong relationship with the rest of the organization.
  • 5. 1 . S C O P I N G  Policy  Process  Business Requirements 2 . C O N T R A C T  Liability  Terms and Conditions  Pricing  Penalties or Rewards 3 . R E L AT I O N S H I P  Transition Expectations  Common Goals  People Alignment  Cultural Fit
  • 6. CONT….. 4. SERVICE QUALITY  Complain Management  Issue Management  Value and Services 5. GOVERNANCE  Roles and Responsibilities  Policy Management  Change Management  Risk Management
  • 7. BEST PRACTICES FOR SUCCESSFUL VENDOR MANAGEMENT: Matching the vendor management model to organizational goals & objectives Establishing a Selection Process Measuring & Monitoring Defining the Partnership
  • 8. VENDOR RATING Vendor rating is a term used in business and refers to the process of evaluating and approving potential vendor by quantitative assessment. The purpose of vendor rating is to ensure a portfolio of best in class vendor is available for use.
  • 9. PARAMETER OF VENDOR RATING  Pricing o Competitive price o Price stability o Price accuracy o Advanced noticed of price change  Quality o Conformity to specification o Reliability o Repair and rework o Durability o Support o Warranty
  • 10. CONT……  Delivery o Time o Quantity o Lead time o Packaging o Documentation o Emergency delivery  Service o Vendor representation o Technical support o Problem resolution
  • 11. CONCLUSION At last we would like to conclude that vendor management is a very essential and important aspect or function of any organization. Vendor management help to smooth flow of product or service in market. Organization can rate our vendor on different-different parameter and select one best vendor who help to maintain a best or effective vendor management practice in whole organization.