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Presentation on 1

Vendor Selection and Its Application and Impacts on


Supply Chain Management

PRESENTED BY :
ANUPA BARAL
SONIYA PANDIT
RUSHINA MALLA
PRAKASH ACHARYA
Vendor selection 2

Finding the appropriate vendors who can provide the


buyer with the right quality products at right price in
right quantity and at right time.

Highly researched area in supply chain management.

Include delivery ,quality, cost and past performance .

Improve company success and competitiveness.


10’C for Vendor selection
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Competenc
y

Communication Capacity

Clean Commitment

Culture Control

Cost Cash
Vendor Selection Process 4

Acknowledge the need for Determining the criteria for Identifying sources of
supplier sourcing supplier sourcing potential suppliers

Evaluate and select the


suppliers Determining methodology
to assess and evaluate Shortlist the suppliers from
suppliers selection pool

Contract with the selected


suppliers
Applications: 5

 Reduce Suppliers Risks- Vendor management reduce risk by measuring and


tracking performance of supplier's.

 Optimize Performance-Tracking and measuring performance against contact to


ensure the company is meeting needs and complying with requirements

 Reduce Costs- Strong relation with vendor help to negotiate better rates ,discounts
and incentives increase profit margin
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 Create Loyal Relationships- Working with excellent suppliers strengthen
relationship and build loyalty

 Increase Administrative Efficiencies-Vendor data can help you to reduce loss


of data and information and other cost

 Protect Company’s Brand- Provide information about supplier’s social and


environmental standard
Impact of Vendor Selection 7

 Firm performance- In terms of structure, organization


culture, extent of information sharing

 Quality of Goods- providing quality product in


consistency way

 Local Suppliers- manufacturer who can supply own


products or raw materials locally

 Price -supplies goods on reasonable price


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 Assurance of Supply-supply of goods regularly without
shortage

 Green Logistics -focused on the positive impact in the


environment

 Technological Impact-Selection of high tech-


transaction system
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Thank you!!!

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