Vendor Evaluation: Selection Strategies and Client Site Visit Analysis

This report provides an overview of vendor evaluation strategies, emphasizing the importance of contract negotiation, building long-term partnerships, and understanding vendor capabilities to ensure timely deliveries. It addresses how to handle outliers in the selection process, prioritizing parameters that directly affect delivery timelines. The report also highlights the significance of client site visits to assess geographic and cost factors, understand client needs, and evaluate potential risks, including financial and psychological aspects. The analysis underscores the necessity of physical visits to gather accurate network specifications and material quality requirements, ultimately contributing to effective vendor selection and risk management.

Running head: VENDOR EVALUATION
VENDOR EVALUATION
Name of Student:
Name of University:
Author’s Note:

1VENDOR EVALUATION
Table of Contents
Answer to question 1.......................................................................................................................2
Answer to question 2.......................................................................................................................2
References........................................................................................................................................4

2VENDOR EVALUATION
Answer to question 1
Some of the important strategies to source the selection of the vendors can be made using
contract negotiation strategy. The process for finalizing the vendor selection will include sharing
the priorities and information, creating balance with commitment and competition and allowing
the vendors to strategize. Some of the initiatives needs to be taken with building partnerships for
long term. This needs to be similar to the need assessment which is identified with Timeliness of
Deliveries. The next process is related to understanding the vendor’s business which will be able
to contribute to the knowledge and resource for providing better service. This process needs to be
followed with a win-win negotiation contract which will be able to include the negotiation points
for both parties. The final step is discerned with arriving at a value to receive the desired
quantifiable objectives (Dutta, Gwebu & Wang, 2017).
The outliers in the selection process will be handled to make the most effective decision
for need assessment. It is to be understood that highest priority needs to be given in case there is
low score in a parameter which is directly affecting the timeliness of the deliveries. For example,
low score in Job knowledge, sales staff acumen and technical expertise of the staff may increase
the lead time, which is not favourable. In such a situation the company needs to be exclude that
vendor from the final list. Similarly, in case the score in any parameter is positively influencing
the timeliness of the deliveries then this should be taken into consideration of the selection
process. For example, in case of very high score on Competitiveness of Terms and Conditions
parameter the timeless of the deliveries may be benefitted (Sahling & Kayser, 2016).
Answer to question 2
The important purpose for the client site visit is seen with the assuring that the vendor can
know about geographic and the cost factors which may affect the timeliness of the deliveries. It
needs to be further considered that for ensuring the timeliness of the deliveries it is important to
know about the location size and types of the containers needed to deliver the supplies.
Henceforth, a visit to the client will be able to ensure these factors are duly met. The vendors will
be also able to determine about the varying nature of the quality of the material which will be not
be possible in case the physical visit to the client is not made (Khan & Faisal, 2015).

3VENDOR EVALUATION
The different types of the benefits associated to the IT vendors may be seen with
knowing about the exact network specifications followed by the client for transmission of data.
This is only possible with a physical client visit. The risk factor is taken into account with the
financial element of the risk assessment. The capacity and the maximum risk level can affect the
financial circumstances. The financial investment required for sourcing the suppliers may change
after knowing the exact specification requirements. The psychological risk is considered as
another concern which is associated to knowing about the risk attitude of the client (Niknamfar
& Niaki, 2018).

4VENDOR EVALUATION
References
Dutta, D. K., Gwebu, K. L., & Wang, J. (2017). Strategy and vendor selection in IT outsourcing:
is there a method in the madness?. In Global Sourcing Of Services: Strategies, Issues
And Challenges (pp. 451-477).
Khan, H., & Faisal, M. N. (2015). A Grey-based approach for ERP vendor selection in small and
medium enterprises in Qatar. International Journal of Business Information
Systems, 19(4), 465-487.
Niknamfar, A. H., & Niaki, S. T. A. (2018). A binary-continuous invasive weed optimization
algorithm for a vendor selection problem. Knowledge-Based Systems, 140, 158-172.
Sahling, F., & Kayser, A. (2016). Strategic supply network planning with vendor selection under
consideration of risk and demand uncertainty. Omega, 59, 201-214.