What does Vendor Relationship Management mean?
Vendor (or Supplier) Relationship Management encompasses all activities and processes around suppliers and vendors throughout their lifecycle. This means from their search and selection, through the conclusion of contracts, delivery management, to the termination of the contractual relationship. Supplier relationship management mainly includes the following processes and activities:
Centralized Vendor Database
- Centralised information provides a single source of truth for all vendor-related information, making it easier to manage and access data.
Vendor Onboarding and Offboarding
- Streamlines the process of adding new vendors and removing those no longer needed.
- Ensures compliance with company policies and regulatory requirements.
Communication and Collaboration with Vendors:
- Enhances communication and collaboration between the organization and its vendors.
- Provides a centralized platform for all vendor-related interactions.
Vendor Risk Management:
- Identifies, assesses, and manages risks associated with vendors.
- Provides tools for continuous monitoring and risk mitigation.
Vendor Contract Management:
- Manages vendor contracts, including creation, negotiation, and renewal.
- Ensures that all contractual obligations are met and documented.
Vendor Performance Monitoring:
- Tracks vendor performance against predefined metrics and service level agreements (SLAs).
- Provides insights into vendor reliability and efficiency.
Compliance Management of Vendors:
- Ensures vendors comply with legal, regulatory, and internal policies.
- Automates compliance checks and audits4.
Incident Management:
- Manages and tracks incidents related to vendor services.
- Facilitates quick resolution and documentation of issues.
How Aptien VRM can help you manage your supplier relationships
You will keep key information in the records of companies or suppliers. Here you keep detailed information about your suppliers.
- Keeping centralized Vendor Database
- Vendor contract management
- Vendor Onboarding and Offboarding
- Communication and Collaboration with Vendors:
- Keeping records and minutes of negotiations and meetings with suppliers
- Vendor Risk Management:
- Identifies, assesses, and manages risks associated with vendors.
- Provides tools for continuous monitoring and risk mitigation.
- Vendor Contract Management:
- Manages vendor contracts, including creation, negotiation, and renewal.
- Ensures that all contractual obligations are met and documented.
- Compliance Management of Vendors:
- Ensures vendors comply with legal, regulatory, and internal policies.
- Automates compliance checks and audits.
- Incident Management:
- Manages and tracks incidents related to vendor services.
- Facilitates quick resolution and documentation of issues.
- Manage suppliers using tasks
- Extranet for cooperation with suppliers