Supplier management involves the systematic and strategic approach to identify, evaluate, select, and maintain relationships with suppliers and vendors. It encompasses processes such as supplier qualification, supplier performance evaluation, contract negotiation, supplier development, and ongoing supplier relationship management. Effective supplier management aims to ensure a reliable and high-quality supply of goods and services, optimize costs, manage risks, and foster collaborative partnerships with suppliers. By managing suppliers effectively, organizations can enhance supply chain efficiency, reduce lead times, improve product quality, and foster innovation.
