Mit der steigenden Konzentration auf Kernkompetenzen werden Lieferanten und deren Management durch die Einkaufsfunktion zentrale Faktoren für den Erfolg des gesamten Unternehmens. Insofern sind Lieferantenauswahlentscheidungen von strategischer Bedeutung für das beschaffende Unternehmen. Diese Arbeit ordnet die Lieferantenauswahlentscheidung zunächst in einen Bezugsrahmen von Unternehmens-, Beschaffungs- und Warengruppenstrategien ein, um die strategische Bedeutung herauszustellen. Dann wird ein umfassender Überblick über mögliche Lieferantenauswahlmethoden gegeben, sowie die Einsatzmöglichkeiten kritisch diskutiert sowie in den Kontext des Beschaffungsprozesses eingebettet. Dazu gehört auch eine Betrachtung möglicher Auswahlkriterien. Zuletzt wird die Lieferantenauswahl als Kernaufgabe des Lieferantenmanagements positioniert und entsprechende Handlungsempfehlungen für Einkäufer abgeleitet.
Table of Contents
1. Introduction
2. Framing a comparison of supplier selection models
2.1 A strategy perspective on supplier selection
2.2 Supplier selection and the procurement process
2.2 The process of supplier selection
3. Comparing supplier selection options
3.1 Quantitative-monetary approaches to supplier selection
3.3 Qualitative approaches to supplier selection
3.4 Mathematical approaches to supplier selection
3.5 A synopsis of supplier selection methods
4. A perspective on supplier relationship management
5. Summary
Objectives and Core Topics
This report aims to categorize, analyze, and compare major methods for supplier selection while contextualizing them within the strategic procurement management process. The primary research goal is to demonstrate that supplier selection is a critical management decision that must be aligned with corporate strategy and the specific importance of the items being purchased.
- Strategic alignment between corporate goals, procurement strategy, and supplier selection.
- Categorization and critical evaluation of quantitative-monetary, qualitative, and mathematical selection models.
- The impact of supply item criticality (e.g., Kraljic matrix) on the selection process intensity.
- Integration of supplier selection within the broader framework of supplier relationship management.
Excerpt from the Book
3.1 Quantitative-monetary approaches to supplier selection
A basic model for this is “Balance Sheet Analysis”. It is applied by defining performance indicators that can be derived from analysing the balance sheets of potential suppliers, e.g. on their profitability, liquidity or capital structure (Gibson 2008). The method is useful especially for cases where a long-term relationship is aimed at, to ensure the financial stability of the supplier, as bankruptcy of key suppliers can strongly impact a company (Ting and Cho 2008). The data for performing this is usually publicly available, thus the comparison can be performed even prior to contacting suppliers, which would be a tactical advantage. On the other side, not all types of companies publish their results or they provide different levels of data, which complicates the comparison. Moreover, financial data does not necessarily provide information on the capabilities of a supplier (Ting and Cho 2008). Last but not least, even if the data is available, no information is given how the indicators gathered should be used for the decision (Janker 2008). Therefore, it seems that Balance Sheet Analysis should be seen as a supportive method for important supplier selection decisions.
Another relatively simple model for supplier selection is “Price Comparison” which means that the buyer just compares the prices of the required good from a number of suppliers and selects the lowest offer (Linn, Tsung and Choi Ellis 2006). This requires relatively little skills and resources to perform, which is a clear advantage. Moreover, taking price as the single criterion is by some author’s suggested as an objective and transparent way for supplier selection (Bartle and LaCourse Korosec 2003). However, price as the sole criterion is not sufficient in times where companies procure increasingly complex goods or services (or a combination thereof). Quality, reliability and innovativeness of a good are just as important as price, or even more important (see Figure 8 above). Moreover, for more complex goods, many of the costs of purchase incur after the actual purchase, during its product lifecycle (Reeve 2002; Ellram and Siferd 1993). These costs would not be considered in the simple price comparison, which leads to the conclusion that the method should only be used for non-critical, commodity-type purchase goods (Monczka, Handfield and Ginupero 2009).
Summary of Chapters
1. Introduction: This chapter highlights the rising strategic importance of the procurement function due to globalization and the focus on core competencies, necessitating a formal approach to supplier selection.
2. Framing a comparison of supplier selection models: This chapter provides the theoretical background, linking Porter’s generic strategies and portfolio approaches like Kraljic to the supplier selection process.
3. Comparing supplier selection options: This chapter categorizes and evaluates various selection models—quantitative-monetary, qualitative, and mathematical—highlighting their respective advantages and limitations.
4. A perspective on supplier relationship management: This chapter argues that the selection process sets the foundation for subsequent supplier management, emphasizing that partnership approaches should be applied selectively based on criticality.
5. Summary: This chapter concludes that there is no single best method for supplier selection; instead, the choice of model must reflect the strategic importance of the purchased item.
Keywords
Strategic Purchasing, Procurement, Supplier Selection, Supplier Management, Total Cost of Ownership, TCO, Kraljic Matrix, Outsourcing, Supply Chain Strategy, Quantitative Selection Models, Qualitative Selection Models, Mathematical Programming, Supplier Relationship Management, Core Competencies, Strategic Sourcing.
Frequently Asked Questions
What is the fundamental focus of this report?
The report provides a critical analysis of supplier selection models, examining how they are applied in modern strategic procurement to ensure organizational success.
What are the primary thematic fields covered in this work?
The themes include the strategic link between corporate strategy and purchasing, the classification of supplier selection models, and the integration of these models into supplier relationship management.
What is the primary objective of this study?
The main objective is to provide a structured overview and critical discussion of supplier selection methods, helping procurement professionals choose the right tool based on contextual factors.
Which scientific methods are employed in this analysis?
The author utilizes a comprehensive literature review, including frameworks such as the Kraljic matrix, Porter’s competitive strategies, and a comparative analysis of quantitative and qualitative decision models.
What aspects are covered in the main body of the report?
The main body systematically reviews monetary methods (like Balance Sheet Analysis and TCO), qualitative methods (like Scoring and Checklists), and mathematical approaches, followed by a discussion on relationship management.
How are the core concepts characterized in this research?
The work is characterized by the concept of "differentiated procurement," where the level of analytical effort in supplier selection matches the criticality and strategic importance of the item purchased.
Why is the "Total Cost of Ownership" (TCO) model highlighted as particularly significant?
TCO is highlighted because it transcends simple price comparison by including lifecycle costs, qualitative risks, and process costs, offering a much broader and more strategic decision basis.
What conclusion does the author draw regarding "partnerships" with suppliers?
The author concludes that partnerships are not a universal solution; they are one of several relationship types that should be utilized only when justified by the criticality of the item and the strategic goals of the firm.
- Citar trabajo
- Florian C. Kleemann (Autor), 2011, An Evaluation of Supplier Selection Methods in Strategic Procurement, Múnich, GRIN Verlag, https://www.grin.com/document/190096
