Your Challenges

Many procurement departments are aware of the benefits of Supplier Performance Management and their need for an effective program. Organisations are not satisfied with the current level of performance management they are undertaking, if any. However, the challenge of initiating an SPM program can be daunting.
 
The first challenge with performance measurement is defining who your strategic suppliers are. In order to be strategic SCM professionals must understand which suppliers are important to measure and manage and how to drive value with these companies. Biznet will work with companies to define their key suppliers using proven business models and analytics.

Companies are also challenged by developing meaningful metrics and turning them into actions that improve supplier performance. It is paramount that these Key Performance Indicators (KPIs) are aligned with the overall business strategy; this ensures that procurement reflects and supports the business. Truly measuring supplier performance required a balanced scorecard which combines both qualitative and quantitative measures. Biznet have a wealth of experience in KPI development and have a KPI dictionary of 1000’s of metrics across various industries including Oil & Gas, Health Care, Manufacturing, Finance and Heavy Industries.

The incentive for applying a robust performance measurement system is that both the procurement function and the broader organisation will benefit from an enhanced appreciation of procurement functions.

Biznet offer consultancy to companies who wish to introduce a Supplier Performance Process but don’t know where to begin. Our experienced staff has a wealth of knowledge relating to KPI and Scorecard development, SPM implementation and rollout, and how to use the results to improve your bottom line

For more information on how Biznet Consultants can help you meet the challenges of a SPM program please contact performis@biznetPM.com