Supply chain & logistics

SUPPLY

PERFORMANCE EVALUATION OF DISTRIBUTOR Presented by : SURBHI SHARMA Class : BBM(International Business)

WHAT EXACTLY COMES UNDER SUPPLY CHAIN MANAGEMENT..

PERFORMANCE EVALUATION OF DISTRIBUTORS.

In todays SUPPLY CHAIN MANAGEMENT, distributors differ from those traditional ones. These distributors play an indispensable role by providing value-added services in logistics, transportation, inventory management, and information management service.

HOW TO EVALUATE DISTRIBUTORS PERFORMANCE, becomes a valuable topic in the theoretical research. Many scholars have conducted research from different perspectives, yet previous studies in this area were inadequate, previous research discusses distribution performance from various perspectives.

However, more extensive research is required to determine how to integrate different performance dimensions more systematically and to determine how to combine these dimensions with characteristics of logistics of distributors.

Thus, the performance evaluation is to be done by salespeople every six months and should be totally transparent to the distributors. The parameters for assessment and the weight age of each should be known to the distributors; there should be no surprises or after thoughts. Some of these parameters for evaluation are shown as an example in the next displayed table :-

PARAMETERS FOR DISTRIBUTORS PERFORMANCE EVALUATION. AGGREGATE Wtg SCORECARD CRITERIA SCORE %
1. INFRASTRUCTURE IT support Storage space Manpower Communication

10

2. COVERAGE Outlets Territory Productivity

20 60 05 05

3. SECONDARY SALES (vol) 4. HANDLING PROMOS AND EVENTS 5. STOCK LEVELS (vol)

The parameters and the weight ages need to be decided specifically for the company. The ratings could be : excellent 5, good 4, average 3, below average 2, and poor as 1 . any distributor who scores less than 03 will be on notice. Even if the distributor is scoring 3, he would be earned to pull up within a specific period in the parameter where he has scored badly.
The hierarchy in supply chain management, According to which evaluators are appointed.

SOME OTHER PARAMETERS THAT CAN BE CONSIDERED ARE :Efforts on new products and packs Performance on industrial business Adding and developing new markets and outlets Handling market complaints Feedback from retailers on service levels Timely submission of reports.

Thank you..!