How to Efficiently Manage Vendors?

Managing vendors is never easy. Expectations on both sides are almost always never the same, and over a period, the chasm is so wide and deep that it becomes difficult to move on. The changes in personnel and the regulatory changes have made it mandatory for every company to take an active interest in their vendors’ level of compliance with regulations and standards in their industry. Within the company vendor management is a cost center and tracking compliance of the vendors adds another cost element to it. Here is a 4-step recipe to combat the cost, and increase productivity.

Step 1:

Classic Best Practices: Trim the number of vendors; set up a vendor rotation scheme (every 3 years or so), hire good negotiators, specify payment terms, do the 80/20 analysis of the goods and services obtained and so on.

Step 2:

Analyze the business processes for ensuring vendor compliance. Determine which of these can be automated.

Step 3:

Install Predict360 and configure it for Vendor Compliance management. Integrate with current Purchasing Department tools and any Enterprise Resource Planning (ERP) system.

Step 4:

Track vendor compliance from the Predict360 dashboard. Take action from the Predict360 application in terms of creating tasks, filing vendor compliance reports.

Predict360’s Third Party Risk Management Software allows organizations to benefit with the services provided by third party vendors and contractors while managing the risks posed by these vendors efficiently and effectively. It also centralizes vendor management process and prevents it from oversight through a complete vendor management process.

About the company

360factors, Inc. (Austin, TX) helps companies improve business performance by reducing risk and ensuring compliance. Predict360, its flagship software product, vertically integrates regulations and requirements, policies and procedures management, risks and controls, audit management and inspections, and on-line training and qualifications, in a single cloud-based platform based on artificial intelligence.

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