Discover the Perks of Carrying On Supplier Evaluation

Choosing the right supplier not only provides items/services at a competitive cost but also help businesses to reduce the impact of economic uncertainties on the supply chain. There are many perks of carrying on supplier evaluation from a reliable source; those are:

• Supplier Evaluation Amplifies Performance Visibility:
  When companies don’t know the facts about how their suppliers are performing, supplier evaluation tends to be based on guesses. Additionally, the simple act of measuring performance can help improve performance. This improvement can be even more dramatic when companies award additional business on the basis on suppliers meeting performance goals.


• Supplier Evaluation Uncover & Remove Hidden Waste & Cost Drivers in the Supply Chain:
  The supply chain is full of potential risks that can originate from suppliers in regards to corporate social responsibility. Some of these risks can be avoided by better communications between customers and suppliers. By better understanding supplier performance and supplier business practices and processes, customers can help suppliers drive waste and inefficiency out of the business, resulting in higher-quality suppliers and lower costs.


• Leverage the Supply Base through Effective Supplier Evaluation Process:
  By conducting effective supplier evaluation, an enterprise can set a threshold for its suppliers that can lead to higher-quality results. Companies can better plan new products and services based on a good understanding of its suppliers’ capabilities and performance levels.


• Supplier Evaluation Align Customer and Supplier Business Practices:
  Ideally, suppliers should run their business in alignment with their customers; share the same business ethics, expect similar standards of excellence, show commitment to corporate social responsibility and continues improvement.


• Supplier Evaluation Mitigates Risk:
  Insight into supplier performance and business practices helps reduce business risk, particularly given companies’ increasing dependence on its key suppliers. Risks can be financial and operational and increase with geographic distance.


• Supplier Evaluation Eyeing to Improve Supplier Performance:
  The goal of supplier evaluation should be supplier performance improvement. While simply measuring performance has a positive effect, supplier evaluation can be most effective when it leads to continuous improvement activities and actual supplier performance improvement. Follow-up activities, such as supplier training and development, and corrective actions to address supplier evaluation findings are the best ways to obtain measurable and positive results.

So, leverage the benefits of supplier evaluation by carrying it out from a reliable and trusted source. Contact China Inspection Service for an effective and value-for-money supplier evaluation check today.