Question

** Procurement Services

·         What is Supplier Lifecycle Management (SLM)?

·         Different stages of SLM - Supplier Qualification, Supplier Evaluation, Supplier Selection and Supplier On-boarding

·         Must have ability to support company’s procurement division by –

o   Evaluating current data quality - Vendor master data aligned as per customer’s SLM requirements

o   Data analysis - Higher fill-rate of critical & technical attributes

o   Collect supplier’s qualification -

o   Data enrichment - Data Integrity & Hygiene through proactive Audit + Clean-up exercises

o   Data validation - Drive higher data accuracy & efficiency

o   Duplication resolution - Reduction of inactive / duplicate master data records

o   Technical support

Answer 1

SUPPLIER LIFE CYCLE MANAGEMENT:-

1. Supplier life cycle management is important in procurement service.Supplier life cycle management has reduces risk, improve performance and increase product value.

• In supply life cycle management, supplier has the central value in the procurement services.
• Supply chain management helps in better planning, low process cost, collecting and managing supplier's information.
• The motto of supplier life cycle management is to choose the right supplier and make better quality product by reducing the cost and risk thereby keep the quality throughout the cycle.

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Supplier Life cycle Management can be divided into eight phases. Some of them are following:-

SUPPLIER QUALIFICATION:-

1. This phase is based on supplier's qualification. A supplier's qualification is based on whether they are capable to fulfill the demand.
2. A supplier need the knowledge to provide quality goods and service at reasonable price and has to keep the standard of the company.
3. Supplier need the knowledge to understand the changing trend and needs in the market.

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SUPPLIER EVALUATION

1. Supplier has to fill various documents to involve in supplier evaluation process:- which include the evaluation of quality of the product.
2. The quality of suppliers should be assessed through questionnaires, site visit and economic aspects.
3. Supplier evaluation done in a variety of forms, which help to ensure the quality throughout the management life.

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SUPPLIER SELECTION

1. Supplier selection helps to give great outcome.
2. The main goal of supplier selection to select good quality among the alternative and to a long term relationship.

Supplier selection is done through various techniques such as qualitative and quantitative technique.I -----------------------------------------------------------------------------------------------------------------------------------------------------

SUPPLIER ON-BOARDING

1. It is important to collect and keep all the information about the workers and make a transparent relationship.
2. After the information are boarded, now the company can track the suppliers performance and information.
3. It can also act as a score card for suppliers.

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In Suppliers Life Cycle Management, there are four more stages include.

They are:-

• Suppliers Performance Management
• Suppliers Risk Management
• Suppliers Development
• Suppliers Relationship Management

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Ability to support company’s procurement division:-

DATA QUALITY

• Data quality is means the quality of data assessed by the suppliers about the changing trend, needs and wants of the society.
• It is very important to keep the quality throughout the management life of a supplier.
• The quality of is keeping through various survey and information techniques

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DATA ANALYSIS

• Data analysis detail checking is conducted on the collected data.
• It is very important, because accuracy of the data can't be assured.
• After data analysis only, the collected data can use.

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COLLECT SUPPLIERS QUALIFICATION

• Supplier need the knowledge to keep the quality throughout the suppliers life.
• Fulfill the need at reasonable price.
• Ensure, that they meet the requirements at high level.

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DATA ENRICHMENT

• Data enrichment means keep the quality of data.
• Verify and scrutinize the data before it submitted.

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DATA VALIDATION

• Data validation means make sure that the submitting data have validity.
• The validity of data may be for few years and it is outdated. So before submitting it should ensure

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DUPLICATION RESOLUTION

• Duplication resolution is a process which are used to avoid the unwanted and duplicate records.
• It is necessary to keep the accuracy of the data and also to keep quality of the management life.

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TECHNICAL SUPPORT

• Technical support is the support provided through various technology like internet, social medias etc
• Nowadays, it is very easy to access any information from all over the world through internet.

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