2010Report on supply chain managementIntroductionThis report seeks to give an illustration of how I would go about selecting suppliers who meet the criteria of cost, quality, delivery and flexibility. The report will also depict the process of selecting suppliers that uphold cooperate social responsibility. Moreover, this report will illustrate how as the purchasing manager of Primark, I would work with suppliers to ensure that all the products that are sold by this company are competitively priced, delivered according to the standards and that they meet the Primark’s quality criteria. The process of selecting suppliersSelecting an effective net of suppliers plays an integral role to the success of a company, therefore, supplier selection is a vital aspect in the contemporary competitive business environment.
When making decisions revolving around supplier selection there are two crucial issues that should be put into account. These issues include the criteria and the methods that should be used to select the right suppliers. In most cases the review criteria in suppliers selections includes, the cost, quality, delivery, flexibility and the cooperate social responsibility upheld by a particular supplier.
In regards to cost as the criterion of determining the selection of supplier the aspect of net price is pertinent. Basically, the net price is the price including the freights charges and discounts by the vendors. In the supply selection procedures it is not enough to include the net price only. Other qualitative factors such as quality and service cost should as well be put into account. When it comes to quality, suppliers should have the aptitude of consistently meeting quality specifications such as quality staff, experimentation and inspection.
The delivery criterion requires suppliers to be competent in meet the set delivery schedules. These schedules may extend to cycle time, shipment quality, freight quality and lead time. As far as the criterion of design and development is concerned, suppliers should be in a position to initiate design capability, product improvement and should be committed towards the continuous improvement of products that they supply. In reference to the flexibility criterion of selecting suppliers, it is imperative to consider the ways in which suppliers show responsiveness towards the needs of the customers.
Suppliers should be in s position to respond appropriately to the existing market needs of the customers, changing order, unexpected demands and quota flexibility among many other factors. In addition, the relationship between the suppliers and the buying firms should be put into account in the supplier selection process. By investigating the current and past relationships provides elaborate framework of evaluation and supplier selection is established. Eligible suppliers should as well uphold cooperate social responsibility. In order for them to meet this criterion they should practice responsible business and show sustainable cooperate responsibility.
Ideally, in order for the supplier to be selected as the company’s representative they should depict that they adhere to the law, ethical standards and promote the interest of the general public by promoting community development and growth. Approaches of supplier selection