Supplier performance evaluation
Supplier performance evaluation is a user-defined set of ratings that allow suppliers to be compared to each other on a 1 to 5 numerical scale. The evaluation process consists of setting up an evaluation template and performing an evaluation for all qualified suppliers.
The template includes categories and criteria. Categories group like criteria together, provide weighting, and are used for scoring summarization. You define weighting on a category to indicate what percent of the total score is calculated from this category. This is assuming the template’s weighting adds up to 100%. An example of a category is Delivery. After a category is defined, you can define criteria. Criteria are used to define the specific performance indicators that are being scored, and is where the evaluations take place. One or more criteria can be defined for a category. An example of a criteria is Average Lead Time under the category Delivery.
The default labels for scoring are Does Not Meet Expectations, Below Expectations, Meets Expectations, Above Expectations, and Exceeds Expectations, and Not Applicable. The scoring value is displayed in parenthesis. For example Does Not Meet Expectations (1).
To perform an evaluation, the evaluator launches the evaluation from the supplier record. The current evaluation template is loaded. The criteria is grouped under its category. The evaluator chooses a score from zero to five for each of the criterion and can also provide comments and add attachments.