SAP Material Download
Vendor Performance Evaluation
We all aware that in modern age the role of supply chain management has completely changed.
Now Supply chain management is making direct impact on companies bottom line so nowdays vendors are considered as Stake Holder of companies.
Hence Vendor performance evaluation becomes necessary for organizations.Vendor Performance monitoring is very imported for any domain and any product based company like mobile apple,auto etc
In below document we will see how to setup/config vendor performance monitoring/measurement In SAP.
Path for Configuration set up
Weighting keys are used to give weighted rank to different evaluation criteria of vendors.
For example one company has selected Price of material, Quality of supplied material, Delivery performance, Payment terms and inco terms as criteria.
If Company wants to give importance to one criterion over another in that case weighting keys are used.
List of Criteria selected.
Here we can also define sub criteria for main criteria, sub criteria is basically used to split down main criteria into More detailed performance measuring parameters.
Scoring method is used to determine individual score for mentioned sub criteria.
If price level is assigned with key 4, It means that system will use purchase order details and relevant delivery details for scoring purpose.
you may assign this field as given below
- Empty field for manual score.
- Value 1 for semi automatic determination from info records.
- Value C or D for semi automatic at the time of service acceptance.
- Rest all other keys are used to determine score automatically.
In score of list we can define various type of combination of same or different main criteria and sub criteria.
For example in VERSION-I Price, delivery and behavior given sequence 1,2 and 3 respectively While for VERSION II behavior, Price and delivery given sequence no 1,2 and 3.
Vendor evaluation has facility to define different settings for each purchase organization.
We can define following parameters for purchasing organization.
- Maximum score that vendor can achieve.
- The maximum number of days data exists in system for evaluation.
- Factory calendar to be use for delivery performance.
- It indicates that vendor is single source of supply or not.
- Indicator whether the average score of all quality to be taken or result last Audit to be consider for scoring.
On-time delivery performance
- If delivery time varies that what percentage to be assign for scoring performance.
- Min qty of material delivered against order.
We can also assign weighting criteria as equal or unequal to all main criteria.
Here we can define point criteria for difference internal range for automatic score calculation.
Now run session ME62 for vendor performance evaluation criteria.
Run T Code ME63 for automatic score calculation for performance monitoring.
Comparison sheet for Old and new scores.print vendor performance sheet by t code ME6F.
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