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Intermodal transportation
Bulk shipments
Purchasing strategies
2. Discuss
the steps involved in the measurement of supplier
performance.
Following are the seven steps that comprise a process to
develop and deploy supplier assessment:
Aligning the goals and objectives of the supplier
performance with the organisations goals.
Financial strength
here refers to delivering the product at the right time and also
adhering to all the specifications of the customer.
Data regarding business processes and practices can be
retrieved via questionnaires and conducting surveys, also from
site visits to supplier workplace. Such data is of great importance
while creating and maintaining long term relations that are
profitable to both the parties.
Enabling behaviours or cultural factors At the heart of Business
models like Six Sigma and Malcolm Baldrige National Quality
Award criteria, are the enabling behaviours like focus on
customers, rapid improvement, teamwork and quickness.
For example, suppose suppliers do not improve even after being
given several chances, it means that they are not synchronising
with the organisation methodologies. In such cases business
models must be incorporated.
Risk factors Evaluating the suppliers is to understand factors
that can cause risk. The risks that are identified at earlier stages
can help uncover them in future. All the previously discussed
factors can be recovered. But risks cannot be determined by
evaluating the performance in the past and assuming the future
developments. Most companies focus on the financial risk
factors. The risks commonly involved in operational performance
environment are trading relations and exchange of currency with
foreign clients.
Develop information collection method
The various methods implemented for the collection of data can
be listed as:
Cross docking