Where do I begin in trying to manage the performance of my vendor? Let us help you to develop a program to monitor, track, evaluate and report on your vendor’s performance
Performance Management involves the process of identifying key performance measurements, metrics and indicators, and developing a process to collect, analyze and report such information. Managing vendor performance effectively will help any business to achieve maximum value from its vendor base, but this can be an overwhelming challenge. The process of determining and measuring key performance indicators related to a vendor’s business processes and practices and aligning such measurements with your business drivers and objectives is critical in the development of an effective Vendor Performance Management Program. We can help your organization develop both quantitative and qualitative metrics that would provide valuable and useful data/information on a vendor’s performance.
Managing a vendor’s performance is a key element in mitigating risk to any organization. By effectively implementing continuous improvement metrics an organization can seek to gain cost efficiencies and enhanced quality of service. We can help develop and create a Vendor Performance Management Program consisting of the following:
- Vendor Performance Scorecard
- Identification of Service Level Agreement (SLAs) and Key Performance Indicators (KPIs)
- Create a SLA with incentives, disincentives and continuous improvement measures