Supplier management is a key priority for procurement, who is responsible for evaluating, onboarding, managing, developing, and maintaining productive, value-generating relationships with an organization's suppliers. Supplier management includes things like risk assessment and performance monitoring, but procurement is also charged with building strong, often one-on-one relationships with suppliers that drive collaboration, trust, and mutually beneficial outcomes.
Supplier management is increasingly supported by digital tools that enable more efficient collaboration, communication, and performance tracking. Successful supplier management can have significant effects across the entire business, all the way down to their bottom line.
When procurement builds strong supplier relationships based on shared performance, organizations are better able to drive innovation, ensure supply continuity, and maintain a competitive edge, even amid volatility and uncertainty.
