Supplier relationship management (SRM) is a critical component of managing supply chains that involves evaluating interactions between the company and its suppliers to determine whether the relationship is stable, secure, and benefiting both sides. Supply chains can be complex and varied, requiring understanding and insight to manage them effectively. With the average number of suppliers for a company sitting at between 200 and 300, it should be unsurprising that SRM technology is set to see an increase in adoption.
Supplier relationship management software solutions are used to facilitate and enhance the business relationships between companies and their suppliers. SRM solutions can help organizations to establish strong, mutually beneficial business relationships with suppliers.
We’ve put together a list of some strong options for those interested in implementing a supplier relationship management solution. These solutions provide capabilities that work to unify and streamline the process of examining, evaluating, and making decisions about your suppliers and how you are working together. Read on for our picks for the top supplier relationship management solutions.
AdaptOne is a cloud-based platform that offers supplier management, supplier diversity management, and certification management solutions. The platform provides comprehensive supplier management features including role-based centralized supplier management, adaptable workflows, automation tools for compliance and risk management, and a robust, configurable supplier-facing portal for flexible supplier onboarding that adapts to your internal process requirements and reduces cost while improving compliance and delivering data insights which benefit each step of the supplier lifecycle.
AdaptOne is designed to support companies in managing their supplier relationships, navigating supplier risk, and maintaining compliance requirements. Their unified supplier management solution is adaptable to each organization’s needs and requirements, so we would recommend it to organizations that require flexibility and are interested in a solution that they can easily adapt to their needs.
Gatekeeper is a next-generation, all-in-one contract and supplier management solution driven by AI. This solution supports users in managing contracts and vendor information, keeping track of workloads, monitoring risks, and storing documents. Users can easily maintain auditable supplier records, track spending to minimize outgoings, monitor potential risk, and set compliance reminders. Further capabilities include workflow and compliance automation, contract templates and a clause library, touchless contracts, and AI data extraction.
Gatekeeper provides total visibility and control over contracts and vendors portfolios. This solution includes multiple integrations across your cloud suite with apps such as G Suite, Box, Office 365, Okta, OneLogin, Dropbox, and more. We would recommend Gatekeeper to organizations interested in a solution that is flexible, versatile, and easy to use with a user-friendly interface.
Ivalua offers an integrated software suite of tools designed to work together to support organizations in handling supplier relationships, improve supplier management and, as a result, streamlining their own operations. Useful features of this service include tools to automate and manage campaigns, questionnaires and scoring templates, the ability to oversee the supplier lifecycle to analyze supplier risk and performance, and functionality to establish detailed project plans, assign suppliers and stakeholders tasks, and track progress. Ivalua facilitate collaboration for improved performance, reduced risk, and more innovation.
Ivalua’s complete, unified digital platform supports product success and supply chain resilience by facilitating improved supplier engagement, spend management, and collaboration across the entire product lifecycle. We would recommend Ivalua’s services to organizations looking for a flexible, configurable, and robust solution to manage their supplier relationships.
ProcureWare is an easy-to-use, customizable e-procurement system that offers sourcing, contract management, and supplier management features. This solution streamlines supplier registration and management, simplifies the RFx process, and supports procurement teams in efficiently managing their supplier contracts. Key features include self-managed supplier registration, standardized supplier qualification, customizable supplier registrations forms, centralized access to supplier data and insurance certificates, integrated messaging for better communication with suppliers, and integrated diversity management and tracking.
ProcureWare provides collaboration and visibility to improve supplier management for both small and medium sized businesses; we recommend ProcureWare to organizations of this size that are interested in a solution that is customizable and easy to use.
SAP Ariba Supplier Management is a cloud-based supplier relationship management solution supports organizations in managing their supplier information, performance, and relationships. This solution gives users a unified, comprehensive view of important supplier information, to help businesses work more effectively with suppliers and withstand potential disruptions. Their intelligent tools allow users to manage suppliers based on specific parameters, achieve heightened transparency and scale compliance across the supply base.
This is a powerful solution which provides centralized supplier management, enabling speedier onboarding, up-to-date data, and compliant spending. The unified platform designed to supports supplier onboarding, qualification, risk assessment, segmentation, and performance tracking. We would recommend this solution to organizations looking to identify and mitigate supplier risks and improve supplier performance.
FAQs
What Is Supplier Relationship Management?
Supplier Relationship Management (SRM) refers to the business initiative undertaken by many organizations to foster more stable and mutually beneficial relationships with their suppliers, while also reducing the risks associated with working with outsider organizations. A well thought out SRM program should support increased collaboration and make it easier to identify the right suppliers to partner with. Some benefits of managing suppliers and devoting energy to strengthening your relationships with them include cost optimization, risk mitigations, operations process improvements, and top-line growth stemming from suppliers’ innovation.
What Is Supplier Relationship Management Software?
SRM software provides organizations with a set of tools designed to analyze and manage supplier relationships in a way that is effective and streamlined, from one singular platform. These solutions work to strengthen communication and improve security by controlling interactions, allowing organizations to oversee and evaluate the performance of their suppliers and ensure they are working with the best providers for their needs.
This is a comprehensive approach to resource monitoring and supplier engagements that can have the effect of facilitating and enhancing the business relationship between suppliers and the companies working with them.
What Are The Key Features Of Supplier Relationship Management Software?
SRM software solutions can really benefit your business with a variety of useful supplier management capabilities, such as:
- Providing visibility into supplier data. There is a lot of important information to keep track of for each supplier, such as contact information for both the supplier organizations and the primary contact you communicate with, payment information, purchase history, communications with the supplier regarding all tasks and events, and information on your credit limit or balances due with the supplier. Access to this information in one convenient location streamlines your operations and minimizes the hassle of managing this information for multiple suppliers.
- Make it easier to manage communications and events. Relationships with suppliers cannot thrive without good communication, which can be difficult when dealing with multiple suppliers. SRM software puts all communications in one convenience space for a smoother experience, so no task or relevant communication is missed.
- Help to mitigate supplier risk and ensure compliance. A good SRM solution should allow users to accurately assess supplier risk and make it easy to monitor how well the suppliers you work with are adhering to industry standards to maintain your brand image and ensure compliance.
What Are Some Opportunities And Challenges In The Area Of Supplier Relationship Management?
Some of the main challenges in this area are those created by the globalization of the supply chain which, while it presents significant opportunity for improvements in SRM practices, can also open organizations up to a higher number of potential vulnerabilities. An effective SRM process, aided by a good SRM solution, can go a long way in mitigating risks associated with supplier performance, quality, and compliance. Limited visibility into supplier performance and actions, limited resources and budget, and lack of standardization are some key challenges organizations must consider and are also some of the areas a supplier relationship management solution can help to improve. They do this by improving visibility, trimming the fat in areas that could be more cost effective, and streamlining the process from start to finish.
