Strategic analysis of supplier management

Strategic analysis of supplier management

In the traditional enterprise procurement mode, the purpose of procurement is very simple, that is, to replenish inventory, that is, to purchase for inventory. The purchasing department doesn't care about the production process of the enterprise, and doesn't understand the change of production schedule and product demand, so the purchasing process lacks initiative, and the purchasing plan is difficult to adapt to the change of enterprise manufacturing demand. Then, the following is the strategic analysis of supplier management that I have compiled for you. Welcome to read and browse.

First, the traditional supplier management

In the traditional enterprise procurement mode, the purpose of procurement is very simple, that is, to replenish inventory, that is, to purchase for inventory. The purchasing department doesn't care about the production process of the enterprise, and doesn't understand the change of production schedule and product demand, so the purchasing process lacks initiative, and the purchasing plan is difficult to adapt to the change of enterprise manufacturing demand.

Traditional supplier management behavior usually includes:

? Have a large number of scattered suppliers;

? Few specific relationships are established with suppliers;

? It is considered that suppliers are fully competitive and can replace each other;

? There is no formal supplier behavior evaluation.

? Price and quality are the main selection criteria, and the price factor is more prominent.

Putting the above-mentioned traditional supplier management behavior in the current business environment, we will easily find its shortcomings:

? The relationship between enterprises and suppliers is only short-term;

? The communication between enterprises and suppliers is limited to the procurement department and sales department of suppliers, and the exchange of information is also limited to ordering and receiving information;

? Suppliers can't get real-time response to the requirements of purchasing department;

? Product quality control can only be done afterwards, not in real time.

Second, the new supplier management

From the above analysis, we can see that the traditional supplier management can no longer meet the needs of supply chain management, and the supply chain management idea of collaborative commerce requires enterprises to establish a brand-new supplier management system.

2. 1 target

The ultimate goal of supplier management under supply chain strategy is to realize the integration of production, supply and marketing. This is different from the traditional integration of production and marketing. This system includes procurement, production, sales, logistics and other aspects. The integration of production, supply and marketing based on supply chain management is manifested in the realization of effective production and sales with minimum inventory, which is embodied in:

? The procurement, production and delivery plan must be consistent with the sales plan formulated by the sales department, otherwise all procurement, production and logistics activities will be based on the sales plan. Therefore, the integration of production, supply and marketing is to highlight the role of market operation factors in determining the overall and whole process activities of enterprises. It can also be said that the production, supply and sales of enterprises are organized and carried out around the market and operation.

? Find the gap between the sales plan and the actual performance in time and adjust it quickly. It is feasible in theory to realize the high precision of sales plan, but it is very difficult in practice. Therefore, it is very important to find the gap between plan and reality as early as possible in actual management activities and make adjustments quickly.

In order to achieve this goal, the content of supplier management has been changed to:

? Establish strategic partnership with suppliers;

? Formal supplier certification;

? Major supplier account management;

? Formulate a formal service agreement and code of conduct;

? System evaluation and feedback;

? Synchronous two-way communication with suppliers;

? Understand the cost composition of suppliers;

? Optimize the supply chain with suppliers.

2.2 Comprehensive and dynamic supplier relationship management

Correctly understanding the relationship with suppliers is of great significance to supply chain management and development. Enterprises need to clearly know the position of suppliers in the supply chain and what role they will play in supply chain management. Therefore, comprehensive and dynamic supplier relationship management has become a powerful guarantee for effective supply chain management.

However, it is a great challenge for enterprises to reasonably grasp and apply the relationship with suppliers, mainly because:

? Because enterprises and many suppliers belong to different supply chain management systems at the same time, the relationship between enterprises and suppliers is vague and difficult to distinguish.

? In the process of supply chain management, the interaction between enterprises and suppliers is very complicated and will change frequently.

? In the process of supply chain management, different levels of supplier relations need different relationship management, which brings great challenges to the actual operation of enterprises.

2.3 Five typical supplier relationships

In order to establish a comprehensive and dynamic supplier management, it is necessary to have a clear understanding of the relationship between enterprises and suppliers. Generally speaking, the relationship between enterprises and suppliers is as follows:

Short-term goal type

The most important feature of this type is that the relationship between the two parties is only a simple business relationship. Although both sides hope to maintain a long-term trading relationship, their efforts only stay on short-term trading contracts. Both sides are concerned about how to negotiate, how to improve their negotiation skills, and strive not to suffer losses, rather than how to improve their work so that both sides can benefit from cooperation.

Under this cooperative relationship, the supplier can guarantee to provide standardized products and services and ensure the credibility of each transaction, but when the buying and selling relationship ends, the relationship between the two parties will also terminate. Moreover, for both parties, only relevant business personnel keep in touch, and personnel from other departments generally do not participate in the cooperation between the two parties.

Long-term goal type

Under this cooperative relationship, both enterprises and suppliers realize that it is beneficial to maintain a long-term cooperative relationship. Both sides have great interest in improving their work for the benefit of both sides, and on this basis, they have established cooperation beyond business relations.

The long-term goal is to establish a cooperative partnership. The focus of both sides is to proceed from long-term interests, cooperate with each other, continuously improve product quality and service level, and reduce costs to improve the operation level of the whole supply chain.

At the same time, the scope of cooperation between the two parties covers many departments of their respective companies. For example, due to long-term cooperation, enterprises can put forward new technical requirements for suppliers, and if suppliers do not have this ability at present, buyers can provide necessary technical and financial support to suppliers, and the technological innovation and development of suppliers will also promote the product improvement of enterprises.

Osmotic type

This relationship is developed on the basis of long-term goals, and its management idea is to regard the other party as an extension of its own company and a part of itself. Therefore, both sides have greatly improved their concern for each other.

In order to maintain this relationship, enterprises and suppliers will take appropriate measures in property rights relations, such as mutual investment and equity participation, to ensure the consistency of their interests, and sometimes take corresponding measures in organization, so that both sides have the opportunity to join each other's related business activities. Many Japanese companies mostly use this method to maintain and develop the relationship between them. For example, Toyota owns shares in many suppliers.

Alliance type

Alliance supplier relationship is put forward from the perspective of supply chain management. His characteristic is to manage the relationship between members in the chain from a longer vertical chain. In this case, the difficulty of the whole supply chain management has increased, and correspondingly higher requirements have been put forward for the management of each enterprise in the supply chain. It is the improvement of management level brought by supply chain management that makes people look forward to establishing such an alliance.

In the process of forming this relationship, due to the increase of members in the supply chain, an enterprise at the core of the supply chain is often needed to coordinate the relationship between members. Such enterprises are often called. Leadership? Or? Chain home? .

Vertical integration type

This form is considered to be the most complicated supplier relationship, that is, the members of the supply chain are integrated, just like an enterprise, but each member is a completely independent enterprise, and the decision-making power belongs to himself.

In this relationship, each enterprise is required to fully understand the objectives and requirements of the supply chain, so as to fully grasp the information. Consciously make decisions that are beneficial to the overall interests of the entire supply chain.

2.4 Construction and application of supplier evaluation system

The core of supplier management is to bring suppliers in the supply chain into the customer relationship system with enterprises. The logical process of an enterprise is no longer based on production management, but extends to the overall arrangement of upstream suppliers, designing a reasonable supply structure that can minimize risks and strengthen competitive advantages, and establishing a long-term strategic partnership with suppliers that can continuously reduce costs and improve product quality, thus enhancing the core competitiveness of the enterprise. In this process, the objective evaluation of suppliers is very important.

1) Supplier evaluation management objectives

Modern enterprises are in a dynamic environment and must adjust their actions at any time according to the changes of internal and external environment. The same is true of supplier management, which must be incorporated into the whole enterprise management system from the beginning of supplier selection. Today, the supplier's performance has more and more influence on enterprises, which affects the success of procurement from delivery, product quality, lead time, inventory level and product design. Therefore, enterprises need to track, control, evaluate, evaluate and redefine the cooperative relationship between suppliers to ensure the stable and efficient operation of the enterprise supply chain system. Based on this, supplier evaluation management has the following specific objectives:

* Get products and services that meet the overall quality and quantity requirements of the enterprise.

When selecting suppliers, enterprises must fully consider whether the suppliers of products meet the development direction of enterprises and whether the products and services they provide can meet the quality and quantity requirements of enterprises.

* Ensure that suppliers can provide the best quality products, services and timely delivery.

* Strive to get the best products and services at the lowest cost.

Enterprises always take the pursuit of profit maximization as their fundamental goal. Therefore, after the supply relationship occurs, the purchaser will take various measures to reduce the cost of obtaining the best products and services, and the supplier who can provide the greatest supply value is what all purchasers want to cooperate with.

* Eliminate unqualified suppliers, develop potential suppliers, and constantly introduce new suppliers.

The relationship between the purchaser and the supplier is not always established. Both sides will constantly examine and measure whether their own interests can be realized in their cooperation, and partners who are not in line with their own interests will eventually be abandoned.

* Maintain and develop good, long-term and stable supplier cooperation.

More and more enterprises realize that developing strategic partnership with suppliers is more conducive to their long-term development, which should be a basic law that has been tested by the market, and buyers should seek long-term partnership with suppliers.

After selecting suppliers and establishing the relationship between supply and demand, enterprises must take the above points as the fundamental principles for evaluating suppliers.

2) Main contents of supplier evaluation management

The basis of supplier evaluation is to determine the content and method of evaluation. Based on the position and role of suppliers in the enterprise supply chain, enterprises should consider the following aspects:

? Does the supplier comply with the supplier code of conduct established by the company?

Supplier code of conduct is the most basic behavior constraint for enterprises to suppliers, the basic guarantee for both parties to maintain cooperative relations, and the primary content of supplier evaluation.

? Does the supplier have basic professional ethics?

This mainly includes the following aspects:

? Does the supplier abide by the confidentiality agreement signed by both parties?

? Does the supplier gain the trust of the purchasing staff through improper means?

? Does the supplier collude with other related enterprises to drive up the price of materials?

? Whether the materials provided by the supplier are shoddy and can meet the quality agreed in the contract.

? Is the supplier's after-sales service consciousness good?

? Does the supplier have a good sense of quality improvement and innovation?

With the intensification of market competition, technological innovation and product innovation of enterprises emerge one after another. Especially in high-tech enterprises, the speed of product upgrading has been calculated by the day. The innovation consciousness of enterprises can not be separated from the support of suppliers, and sometimes the innovation of suppliers even becomes the driving force to promote enterprises and provide more profit space for enterprises.

? Does the supplier have good operating procedures and standardized corporate behavior?

It is difficult for suppliers with chaotic management and imperfect behavior rules to survive and develop in the fierce competition, because these problems are not conducive to the establishment of long-term and stable cooperative relations between the two sides.

? Does the supplier have good communication and coordination skills?

Cooperation between enterprises should be based on good communication and coordination between the two sides. In the production and operation of enterprises, for various reasons, enterprises may need the cooperation and help of suppliers. For example, computer manufacturing enterprises and automobile manufacturing enterprises need the guidance and help of professional and technical personnel of suppliers due to the particularity of technology.

? Does the supplier have good risk awareness and risk management ability?

Among the many materials needed for enterprise production, the market demand of some materials is difficult to determine, and there may be a large demand, or it may only be supplied in the research and development stage. Suppliers with good risk management ability have the ability to provide products and services needed by enterprises at appropriate prices in an uncertain market environment to ensure the normal production activities of enterprises.

? Whether the supplier provides products and services that meet the requirements of the enterprise within the specified delivery time is the lowest standard for the enterprise to evaluate the supplier. This is very important whether it is a supplier with a long-term cooperative relationship or a supplier with a short-term supply contract.

The evaluation of suppliers involves many aspects. For large enterprises, especially multinational enterprises, the success of supplier selection is related to the normal operation of the whole system, so they have more strict standards and extensive contents when evaluating suppliers.

3) supplier evaluation model

The supplier evaluation and selection procedure can be summarized into seven steps, as shown in the following figure. In the actual evaluation, enterprises must determine the start time of each step. At the same time, enterprises must clearly realize that every step is dynamic and a process of improving business.

1, analysis of market competition environment

The purpose is to find out which product markets are effective for developing supply chain cooperation. Enterprises must know what the current product demand is, what the product types and characteristics are, so as to confirm the customer's demand and whether it is necessary to establish supply chain cooperation.

2. Establish supplier selection objectives.

Enterprises must determine how to implement supplier evaluation procedures and establish substantive and practical objectives. The evaluation and selection of suppliers is not only a simple process, but also a process of business process reengineering.

3. Establish supplier evaluation criteria.

This is the basis and standard for enterprises to comprehensively evaluate suppliers, and it is an index reflecting the different attributes of complex systems composed of enterprises themselves and the environment. Different industries, different enterprises, different product requirements and different suppliers should have different evaluations.

4. Establish an evaluation team

Enterprises must set up special teams to control and implement supplier evaluation. The members of this group mainly come from departments closely related to supply chain cooperation, such as procurement, quality and production. This group must be supported by the senior leaders of the buyer and supplier.

5. Supplier participation

Enterprises should involve suppliers in the design process of evaluation as soon as possible.

Step 6 evaluate suppliers

The main job is to investigate and collect the production and operation information of suppliers. On the basis of collecting supplier information, we can use certain tools and technical methods to evaluate suppliers.

7. Implement supply chain cooperation.

In the process of implementing supply chain cooperation, the market demand will constantly change. Enterprises can modify supplier evaluation criteria in time according to actual needs, or restart supplier evaluation and selection. When re-selecting suppliers, the old suppliers should be given enough time to adapt to the changes.

4) Introduction of supplier evaluation methods

The ultimate goal of evaluating suppliers is to evaluate the performance of suppliers in time and take corresponding measures to improve them. Supplier performance includes business unit performance and comprehensive performance. Here is the measurement method of supplier's comprehensive performance:

? Comprehensive performance calculation formula

S=N 1？ S 1+N2？ S2

In which: S: comprehensive performance of suppliers.

S 1: quantitative performance data of comprehensive performance of suppliers.

S2: Comprehensive fuzzy evaluation performance data of suppliers.

N 1/N2: variable coefficient (generally n 1=0.7, n2=0.3).

? Quantitative formula of comprehensive performance

S 1=J 1？ Q+J2？ C+J3? P+J4？ F+J5？ A+J6？ E+J7？ M+J8？ W

Where: Q: Organize the quantitative data of incoming materials quality.

C: quantitative performance data of organization procurement cost

F: quantitative performance data of supply elasticity

A: quantitative performance data of strength

E: quantitative performance data of efficiency

M: quantitative performance data of the service

W: quantitative performance data of stability.

J 1 ~ J8: Weight coefficient, which is selected by the enterprise according to its own objective function.

? Comprehensive fuzzy evaluation calculation company

S2=K 1？ D+K2？ O+K3？ N+K4？ Me +K5? D+K6？ T

Where: d: fuzzy evaluation data of certification.

O: fuzzy evaluation data on the order.

N: fuzzy evaluation data of quality management

I: Develop and design fuzzy evaluation data.

A: processing fuzzy evaluation data

T: other aspects of fuzzy evaluation data

K 1 ~ K6: Weight data, selected by enterprises according to their own requirements.

In the above formula, the purchaser can give weight to each index according to his own requirements for suppliers, so as to get a comprehensive evaluation of suppliers.

Third, the virtual integration of supplier strategy.

Virtual integration can only be produced on the basis of efficient supply chain management. In order to provide goods and services to the market more effectively, enterprises in all aspects of the supply chain have realized the sharing and mutual penetration of information and other resources through information technology, which has blurred the traditional boundaries between enterprises. From a macro point of view, these related enterprises form a larger virtual enterprise.

In order to meet the changing needs of consumers flexibly and quickly, it is not enough to rely on enterprises to improve internal business processes and establish flexible production lines. Facing the development trend of virtual integration, enterprises should implement a comprehensive and systematic supplier strategy, so that suppliers and enterprises can keep synchronous and high-speed operation, thus improving product quality (including raw materials and finished products), speeding up inventory circulation and reducing product costs.

3. 1 new dynamic relationship

The relationship between suppliers and core enterprises in virtual integration is different from the traditional model. In the traditional relationship between supply and demand, one party's gains must be based on the other party's losses. Therefore, core enterprises are always committed to keeping the purchase price as low as possible under the premise of ensuring the quality of certain raw materials, and rarely consider the benefits obtained by suppliers. In virtual integration, suppliers and core enterprises are close partners. They realize that the profit of this enterprise depends not only on its performance, but also on the cooperation of other related enterprises. As long as they do well, what is the deal between them? Win-win? Games. Therefore, after they work closely together to create value for customers, they will distribute the returns reasonably between enterprises and suppliers.

All enterprises in the supply chain know? Virtual integration? This relationship is based on information sharing, but members of the general supply chain will not easily provide their business information to others, because it has always been the internal confidential information of the enterprise. However, the concepts of partners and allies can help all members in the supply chain to eliminate this concern. As long as they confirm that opening up information dissemination channels and making information available will bring benefits to both sides, it is possible for both sides to break through the traditional enterprise boundaries and cooperate.

Whether the relationship between enterprises and suppliers should be long-term or short-term depends on the specific situation. However, whether it is a long-term relationship or a short-term relationship, we all emphasize that enterprises and suppliers should maintain a dynamic relationship. This kind? Dynamic? It is manifested in two aspects: first, when the customer's demand has changed fundamentally, the enterprise may dissolve the original relationship when it senses that this change requires strategic adjustment and the original supplier cannot adapt to this strategic adjustment; Second, when customer demand changes dynamically, enterprises and suppliers have the ability and willingness to adjust synchronously to adapt to this change, and enterprises and suppliers may cooperate for a long time.

3.2 Reach a full understanding with suppliers.

To form a close cooperative relationship between enterprises and suppliers, we must first have a common organizational goal. The * * * knowledge formed with suppliers is divided into two levels: the lower level is the business objectives and behavior norms based on short-term relations and oriented to meeting the existing needs of customers, that is, defining the economic benefits of the business, the ability to meet the needs of customers, the direction of the business and the carefully designed behavior norms for it; The higher level is the vision based on long-term relationship, because the relationship between enterprises and suppliers is long-term cooperative development. If the strategy can be adjusted synchronously every time the customer's demand changes, then their respective corporate cultures must be coordinated, even integrated with each other's corporate cultures. At the same time, as the core of corporate culture? * * * The same vision must also be communicated and run-in, so as to form a more consistent * * * same vision for future development.

3.3 Logistics strategy

The establishment of virtual integration requires enterprises to use advanced logistics technology to promote the flow of materials, goods and products in the supply chain according to time and continuously increase the value in the supply chain. Specifically, we should do the following:

(1) Shorten the planning cycle and lead time;

(2) Reduce unit inventory and speed up inventory turnover;

(3) Improve the accuracy and real-time performance of demand forecasting, and change it to real demand pull when necessary;

(4) The replenishment plan is generated in real time.

It should be emphasized that in the process of establishing virtual integration relationship, enterprises in the supply chain should not only improve their own logistics management level, but also combine it with the logistics operation of cooperative enterprises. For some relatively small-scale enterprises, they don't have the ability and need to invest too much in logistics management, especially in hardware. So I think the third party logistics is an indispensable part of virtual integration.

3.4 Mutual support and common development.

In the strategy of virtual integrated supplier, when designing and developing products, core enterprises allow engineers sent by suppliers to participate in the overall design of products and the design and manufacture of corresponding parts. In this way, the high-level joint design between the two sides has made great gains for enterprises and suppliers in upgrading their technical level and updating their knowledge. Conversely, in order to realize the matching of corresponding raw materials or components of new products as soon as possible, core enterprises can also send engineers to the supplier's workshop to help them solve the technical difficulties in producing raw materials and components and supervise their implementation of the required quality indicators. For example, Ford implemented it when it introduced the general Saturn. Timely delivery and zero inventory? System (JIT), actively consult suppliers during product development, help them design and manufacture parts, and cooperate with suppliers to develop patented technology. In this way, Ford has greatly shortened the time from research and development to listing, and the quality is more stable.

Fourthly, information technology related to supplier management.

The successful implementation of the above supplier management is inseparable from the application of information technology. The supplier-related information technologies used by enterprises include:

1. Internet as infrastructure

Nowadays, the Internet is widely accepted by the whole world for its high-quality characteristics such as openness, high speed and low cost, and has become the infrastructure of computer networks. Whether it is the intranet within an enterprise or the extranet between enterprises, it is designed and interconnected according to the principle of the Internet, and it also has the high-quality characteristics of the Internet. Coupled with firewall, HTTP encrypted transmission and other solutions, the seamless connection of Internet, intranet and extranet has been realized, forming a large global network. It is this network that promotes the rapid, accurate and timely flow of a large amount of information around the world.

2. Electronic data interchange

EDI is a directly applied information transmission method. It establishes a set of completely standardized business message formats. By using the private value-added network (VAN), the computer application system in the enterprise automatically generates messages and sends them to the corresponding trading partners. It can help enterprises shorten the supply chain, reduce inventory, improve efficiency, and improve the production quality and service level of enterprises by reducing delays and errors.

However, EDI system is a private network between enterprises, with high cost and complex system. It can only be established in large enterprises with economies of scale, and small and medium-sized enterprises cannot enter. Secondly, EDI system has low flexibility, has a specific order invoice format, and cannot be changed at will, which is not conducive to maintaining a short-term cooperative relationship between enterprises and suppliers.

3. E-commerce among enterprises based on Extranet

Extranet is built on the Internet based on IP, and the interface is made by the most common HTML writing tools. It can overcome the limitations of EDI in private line and inherit the advantages of EDI system, that is, it can greatly reduce the cost of information processing, further promote timely production strategy and compress the supply chain. It also provides electronic money, electronic credit cards and other means of payment, which simplifies the transaction procedures between enterprises and improves the transaction efficiency.

Of course, because the information exchanged on the external network is confidential, there must be corresponding technology to solve the network security problem.

4. Effective information communication channels

The most important condition of virtual integration is the exchange of information. Now the communication channels provided by information technology are very rich. In addition to the above EDI, you can also send and receive messages quickly, collect information on the website set up by the enterprise, directly access the large database of the enterprise to obtain information, and hold telephone and video conferences to communicate information across regions and borders.

5. Enterprise resource planning system

ERP system is also around the core concept of supply chain, integrating customer demand, enterprise manufacturing activities and supplier manufacturing resources, and effectively managing all links in the supply chain. Support transportation management and storage management among supply, production and demand in the whole supply chain material circulation system.

It should be said that when ERP, EDI and e-commerce are integrated with each other, the internal and external resources of the enterprise will work in harmony and synchronization like those in the virtual enterprise, creating value for customers, which is the ultimate goal of implementing the supplier strategy in virtual integration.

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