Supplier Relationship Management
Our Supplier Relationship Management (SRM) solution expedites your go-to-market efforts with suppliers while maintaining your relationships and sustaining your hard earned savings. PowerAdvocate takes a holistic approach to Supplier Relationship Management to allow you to better manage what you are buying (price, quality, and availability) and from whom you are buying.
- On-Boarding and Supplier Discovery
- Qualification and Compliance
- Supplier Segmentation
- Supplier Performance Management
Supplier On-Boarding & Discovery
Our solution begins in this initial stage of any SRM program; enabling customers to find suppliers and getting them registered into one database in the most simplistic manner possible. We aim to minimize the number of supplier touch points, help you expand your pool of diversity suppliers, and create a registration process that will collect the needed information to help expedite your go-to-market activities.
Supplier Qualification & Compliance
Managing supplier information is a critical yet time-consuming step in order to properly qualify and monitor compliance. Our solution captures diversity status, safety credentials, financial performance and ratings and any insurance certifications. Keeping supplier documentation updated not only expedites your overall procurement process it also provides visibility to mitigate any supplier risk exposure.
To help keep suppliers up to date with compliance requirements, PowerAdvocate offers supplier portals to allow suppliers to self report and responsible for keeping their credentials and documentation up to date. This alleviates much of the resource demands from your Supply team.
PowerAdvocate provides visibility into your supplier base by creating supplier segments based on spend and criticality. We do this by analyzing data and information provided by our customers; facilitating discussions with the key business units to identify criticality; collecting data and aggregate results to provide summary reporting on spend by area of criticality; and managing suppliers through a portal.
Our segmentation analysis goes beyond spend by supplier to enable our customers to better understand supplier risk.
Supplier Performance Management
A SRM program for existing suppliers should measure and manage performance and risk, or at a minimum, provide a platform for doing so if responsibility for SRM is spread across the organization. Performance may include straight-forward, easily-identifiable measures (such as on-time delivery or invoicing), or less easily quantifiable aspects of performance (innovation in service delivery to reduce costs or speed of delivery on capital projects). Risk may include many types of risk, some controllable and some uncontrollable.
Our consultants work with customers to develop a customized program, organized around types of supplier and supplier objectives, for measuring and managing performance on an ongoing basis and a strategy for collecting information, whether collected from external sources, key internal stakeholders, or suppliers themselves. The key component to any successful SRM program is to make it a repeatable process.
Contract Incentive Implementation Results in $18M of Projected Savings
An energy company was managing the preliminary contract for the design of their next-generation facility. The client turned to PowerAdvocate to incentivize the contractor to complete the design contract within the target price established in the contract.
PowerAdvocate identified objective performance metrics as well as negotiated and implemented the ultimate incentive program.
PowerAdvocate helped the client implement a sustainable process for tracking, measuring and adjusting payments for the remainder of the design contract.
This allowed the client to negotiate $18M of projected savings for the duration of the contract.