Supply Chain Vendor Evaluation Criteria

I have already done the base work like finalising the functional requirements i.e. what the software is required to do. Kindly some one tell me further details of evaluation as requested above. Thanks.

The best way to assess the SCM solution is to first prioritise your functionalities into critical, major, minor or any other rating and then match the requirements with the product features of the leading SCM solutions like SAP's APO, Oracle's APS, I2 technologies etc. These products generally offer good SCP functionalities but are weak on the SCE areas.Also, the list of references may be very few.Evalution criteria could be product support, best of breed vrs. suite,cost, whether web based, no.of operational sites,time of implementation etc.

Hello,

A 10 yr outlook demands that a strategic business focus be applied to both your company and to the vendor you are looking at.

If your company does have a business focus for the next 10 years (that's awful far out to be planning in any field), the vendor you select must also have a 10 year focus (you may not find one with a 10 year strategic focus).

The deconstruction of the supply chain itself needs to be in the Vendor's business outlook. This deconstruction will promote your business and make it run much more efficiently if the vendor executes correctly. I say this because as the lines of separation between your suppliers, through the manufacturing process, to the end consumer (note, that I left out any intermediaries such as distributors - purposely), the basic question must be posed, "How are they going to assist you tp maintain a competitive advantage?"

The criteria - Are they capable of not only handling your organization internally, but can they create (softwarewise) the many multi-organizational interfaces that will be required in the years to come as you begin to share information with your suppliers and your ultimate customer?

If the Vendor appears to be focused only the use of their product for companies without any consideration to the many other entities involved throughout the supply chain, ditch that vendor quickly.

Disintermediation is the greatest threat in the supply chain - the Vendor of choice will have a focus on this event inorder to maintain your company's competetive advantage.

This is my insight as to the critical piece that your company will need to look at when selecting a Vendor. Your company will be trusting the Vendor to take you into the years to come while maintaining that competitive edge over others in the same industry.

I hope this helps.

Kevin.

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