Vendor Rating for New, Potential Vendor

Vendor Rating
Knowledge Center

Best Practices

Sign up

Luigi Visiello

Vendor Rating for New, Potential Vendor

I'd like to understand how should one can create a first vendor rating procedure for new suppliers (not yet present into the supplier list). It should be useful to use not only financial KPI (debtness ratio, turnover, cash to cash cycle, etc..), but also operational ones. Could someone give me an idea?
Thanks all for sharing comments

  Jay Deragon


Doc Searls is running a project at Harvard called VRM (Vendor Relationship Management) which addresses all of the above and a lot more. You can view is ongoing efforts here I suggest we all support his vision and make it a reality. VRM will transform how markets behave and disrupt old business models.

  Madan Gopal Agarwal
Business Consultant, India

Supplier Evaluation, Rating a Potential Vendor: ISO 9001

A generic system for any Sector is ISO 9001 (Specific for Auto is ISO / TS 16949).
- Identify Critical Parameters
- Create Questionnaire on Business Strategy / Plan / Growth Perspective, Financial Capability and Soundness, Technical Competence, Managerial strength etc. of the Supplier
- Define weightings for each & Minimum Qualifying marks
- Discuss with Supplier
- Rate the Supplier
- Calculate the overall rating and compare with minimum marks.
In case of gap, discuss with Supplier, work out an improvement plan along with Time-frame and responsibilities.
Re-audit at agreed time and continue the process till result is realised. This can be one of the ways.

  Ismail Kashkash

Vendor Rating Based on Unique Criteria and KPIs

Additional to standard vendor evaluation and selec (...)


Vendor rating

Vendor rating has come a long way in Indian indust (...)

Chartered Accountant, India

Vendor Rating

Among other things, vendor rating includes the tim (...)

  Colin Downey

Vendor Rating - New

I have use parameters such as Suppliers Distributi (...)

  Ankit Agrawal
Consultant, India

Important about vendor rating

Now a days vendors are not only the business parti (...)

  Susana Amezcua Rodriguez
Management Consultant, Mexico

Supplier evaluation

Excellent information for me as a quality consulta (...)

  Arne Antos

Vendor Rating

I think it boils down to did you get value for wha (...)

  Christopher Odida

Objective Vendor Rating in Developing World

Yes this can be achieved but a lot professionalism (...)


Vendor Rating in Developing Countries

Vendor rating is not common in the most developing (...)

Start a new forum topic


More on Vendor Rating:
Special Interest Group

Do you have a keen interest in Vendor Rating? Become our SIG Leader

Vendor Rating
Knowledge Center

About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
2021 12manage - The Executive Fast Track. V15.8 - Last updated: 23-10-2021. All names of their owners.