Supplier Relationship Management (SRM)
A systematic approach to evaluating, managing, and developing relationships with key suppliers to maximise value and minimise risk. Goes beyond transactional interactions to strategic partnerships.
SRM focuses on the most important supplier relationships — typically the strategic and critical suppliers that account for the majority of spend or risk.
SRM Activities
- Supplier segmentation and tiering
- Regular performance reviews and scorecards
- Joint innovation and continuous improvement programmes
- Risk monitoring and mitigation
- Executive relationship mapping
- Value tracking and reporting