Supplier Development Study - Feb-May 2016 - Summary Charts

Supply Chain Insights LLC Copyright © 2016, p. 1

Supplier Development Study

Summary ChartsFebruary 2 – May 13, 2016


Agenda

Study Overview Supplier Development

Supply Chain Education

Scorecards

Alignment


Study Overview


Three-Quarters of Respondents Are Manufacturers


Respondents Are Generally Evenly Split by Discrete vs. Process Industries


Six in Ten of Respondents Are Buyers vs. Four in Ten Suppliers


Agenda

Study Overview

Supplier Development Supply Chain Education

Scorecards

Alignment


41% of Buyers Offer a Supplier DevelopmentProgram; 58% of Suppliers Participate in One


15% of Suppliers Participate in Only ONE SupplierDevelopment Program


Buyers Are More Likely to Have a Supplier DiversityProgram Compared to Supplier Development


Most Buyers in the Study Are Part of theSourcing and Buying Organization


Buyers Report a Great Supplier Development Program IsCollaborative, Performance-Focused & Accountable


Suppliers Report a Great Supplier Development Program Is Focused on Growth, Best Practices, Support and Wholistic


Buyers Report a Variety of Reasons forTheir Supplier Development Program


Nearly One-Quarter of Total Buyers Report PerformingWell on Supplier Development


Suppliers Are More Likely to Get Resistance from BuyersThan Buyers Are to Get Internal Resistance


Overall, Those with Supplier Development ProgramsReport Most Resistance Around Legacy Relationships

and Onboarding New Suppliers


Legacy Supplier Relationships Are Among Top Resistance Reasons for Both Buyers and Suppliers


Top Supplier Development Program Strengths: Relationships and Excellence Definition


Agenda

Study Overview

Supplier Development

Supply Chain Education Scorecards

Alignment


58% of Buyers Offer Supply Chain Education While 85% of Suppliers Participate in It


For Both Buyers and Suppliers, Process ImprovementIs Among Most Common Supply Chain Education Program


Process Improvement Programs Are Most ImportantSupply Chain Education Programs for Buyers


Process Improvement Programs Are AlsoMost Effective Among Buyers


Among Buyers, There Is Little Gap Between Effectivenessand Importance of Supply Chain Education Programs


Process Improvement Programs Are Most ImportantSupply Chain Education Programs for Suppliers


Process Improvement Programs Are AlsoMost Effective Among Suppliers


Among Suppliers, Process Improvement ProgramsHave the Greatest Performance Gap


Agenda

Study Overview



Scorecards Alignment


Over Two-Thirds of Buyers Use Scorecards;Over Half of Them Rate Scorecards As Effective


Buyers’ Most Common Scorecard Measurements Are Product Quality and On-Time Delivery


Agenda

Study Overview



Scorecards

Alignment


For Buyers, Supply Chain Is More Aligned with ProcurementThan with Finance


For Buyers, the Greatest Performance Gap in AlignmentIs for Procurement-Finance

Business

Supplier Development Study - Feb-May 2016 - Summary Charts