Learn to choose suppliers for e-commerce
How to evaluate the companies that will supply your virtual store with products and/or services? Is there a method you are using to choose suppliers for e-commerce or do you do it intuitively?
In 1995, the director of DPSS Consultants, Ray Carter, published an assessment method that has been used by many organizations around the world to this day. It takes into account these 10 items, check it out:
• Competency:
Does the supplier have all the skills to serve your e-commerce in the short, medium and long term? Does he have authority in the field? What do the dissatisfied customers of this supplier say?
• Capacity:
Does the supplier gather the fundamental resources to supply your online store? Does he have the equipment and training necessary to operate it? Is he quick to respond? Are your work processes of good quality?
• Commitment:
Does the supplier apply quality programs to its work processes to ensure they are well executed? Has he been able to maintain long-term relationships with other companies?
• Control:
Does the supplier work with process control and work procedures on a daily basis? Is it able to reliably and consistently control the flow of products over time?
• Cash:
Does the supplier have financial problems that could compromise the supply of products to your online store? Is his financial health good enough to avoid disruptions or possible bankruptcy?
• Cost:
Does the supplier offer services and products at market average prices? If your prices are higher, is there any differential that justifies this increase? Is it worth it for you to pay more for this differential?
• Consistency:
Is the supplier capable of reliably supplying your online store? During events like Black Friday, Christmas, and Valentine's Day, for example, can they provide scalability for your e-commerce business?
• Culture:
Does the supplier have a Mission, Vision, and Values statement? What are they? Do these concepts truly apply to their reality? Are these concepts similar to the Mission, Vision, and Values of your e-commerce business?
• Clean:
Does the supplier comply with environmental laws? Is it socially responsible ? What is its reputation in society regarding this? Does it organize and maintain its own cleanliness? Does it use organizational, cleanliness, and standardization philosophies such as the 5S methodology, for example?
• Communication:
Does the supplier know how to communicate with its customers? What communication channels are available? How do his current clients evaluate these aspects? How will communication be if something in the process does not go as expected?
In addition to Ray Carter's 10 Cs, you can also use other tools to help you choose your suppliers, such as SWOT analysis , which allows you to relate the threats, opportunities, weaknesses, and strengths of companies and, with that, create an overall picture that will allow you to compare them more accurately.
These tools make it possible not only to make a good choice, but also to gather information to negotiate contracts, since when you know your potential supplier's weaknesses, you can use this to get discounts and lower the price of services and products.
