POTENTIAL SUPPLIERS AND
SUPPLY CHAIN IN RELATION TO
Choosing the right supplier involves
much more than scanning a series of
price lists. Your choice will depend on a
wide range of factors such as value for
money, quality, reliability, and service.
How you weigh up the importance of
these different factors will be based on
your business priorities and strategy.
Businesses focus on performance
that is why companies have to look
the right supplier, just as they have
to look the right employees. The
interconnectedness of every
element needs to play an
appropriate role to have a
successful supply chain.
POTENTIAL SUPPLIERS OF RAW MATERIALS
•The most effective suppliers are
those who offer products or
services that match - or exceed -
the needs of your business.
IDENTIFYING POTENTIAL SUPPLIERS:
3. Trade associations
4. Business advisors
6. Trade press
GETTING THE RIGHT SUPPLIER FOR YOUR BUSINESS:
1.Know your needs
2.Spend time on research
4.Credit check potential
5.Price isn't everything
6.Don't buy from too
HERE ARE SOME FACTORS TO CONSIDER IN
SUPPLIERS OF RAW MATERIALS AND OTHER
A SUPPLIER IS WITH A STRONGER BUSINESS
PARTNERSHIP IF IT PROVIDES THE
•1. Do in advance, what is required from the
manufacturer and start to take the leadership
role in communication.
•2. Notify and communicate the manufacturer if
quality problem is identified that limit
• Defined as a tool of business conversion that reduces costs
and maximizes customer satisfaction by providing the right
product at the right price at right time at the right place and.
It involves all activities in the distribution through a product
transmission that reaches the final user while remaining
profitable and competitive.
• Uses a process that control and plans the operation known as
Supply Chain Management. It manages the flow of raw
material, within the business and the flow of finished product
to the end user along with full customer satisfaction.
THERE ARE FIVE (5) MAIN ELEMENTS OF SUPPLY CHAIN
• 1. Producing and designing a product to meet
• 2. Obtaining the raw materials required to produce the
• 3. Manufacturing and developing the products
• 4. Distributing the product to consumers/customer
• 5. Accepting and processing returns of defective
•Michael Porter pioneered the concept of
value chain in his 1985 book "Competitive
Advantage: Creating and Sustaining Superior
•He used this concept to show businesses add
value to their raw materials to produce
products that finally sold to the market.
FIVE STEPS IN THE VALUE CHAIN
4.Marketing and Sales
Hinweis der Redaktion
So, when you are looking for suppliers, it's best to be sure of your business needs and what you want to achieve by buying, rather than simply paying for what suppliers want to sell.
You can find suppliers through a variety of channels. It is best to build up a shortlist of possible suppliers through a combination of sources to give you a broader base to choose from.
This type of partnership promotes stronger commitments and encourages a greater interest in success for the material and finished goods. Following these factors will enable you to select suppliers who can support to improve your productivity, ensure you to produce quality goods/services within budget.
When the process done effectively, the costs of materials and efficient transport may reduce its costs for the consumer while increasing profits for the manufacturer.
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