Factors for evaluation of suppliers

factors

1. Quality Commitment

2. Management Capability

3. Financial Condition

Debt structure

Turnover ratios

4. Cost Structure

Costs relative to industry

Cost control/reduction efforts

5. Delivery Performance

Performance to promise

Lead-time requirements

Responsiveness

6. Technical/Process Capability

Product/process innovation

Research and development

7. Information Systems Capability

8. Environmental compliance
Evaluate and find which company will be selected initially for supplying materials.

Weight Company - Score (5 Pt scale)

Category Weight
Subcategory A B C
1. Quality Commitment 15 15 4 3 4
2. Management Capability 10 10 3 4 3
3. Financial Condition 10
Debt structure 4 3 5 4
Turnover ratios 6 4 4 4
4. Cost Structure 15
Costs relative to industry 9 4 3 5
Cost control/reduction efforts 6 5 4 4
5. Delivery Performance 20
Performance to promise 8 3 4 5
Lead-time requirements 5 4 3 4
Responsiveness 7 3 4 4
6. Technical/Process Capability 15
Product/process innovation 6 4 3 4
Research and development 9 3 3 5
7. Information Systems Capability 5 5 4 5 4
8. Environmental compliance 10 10 3 2 5