Upload
others
View
1
Download
0
Embed Size (px)
Citation preview
w
Contents
Heading 1 ................................................................................................................................................ 2
Heading 2 ................................................................................................. Error! Bookmark not defined.
Heading 3 ................................................................................................. Error! Bookmark not defined.
Supplier On-boarding
Best Practice Guide
Date: May 2018
April 2018 Copyright by SourceDogg 2
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Contents
Introduction ............................................................................................................................................ 3
Considerations before start .................................................................................................................... 3
Supplier Onboarding set up .................................................................................................................... 7
I want suppliers to register for the marketplace ................................................................................ 7
I want to ensure the supplier meet my standards .............................................................................. 7
I want to update my supplier’s data ................................................................................................... 8
Open request set up ........................................................................................................................... 8
Data Structure ......................................................................................................................................... 9
Custom Fields ...................................................................................................................................... 9
Tags ................................................................................................................................................... 10
Data Validation patterns ................................................................................................................... 11
Getting Responses ................................................................................................................................ 13
Website landing page ....................................................................................................................... 13
Mailing campaign .............................................................................................................................. 14
Tracking the progress ........................................................................................................................ 14
Reporting .............................................................................................................................................. 15
April 2018 Copyright by SourceDogg 3
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Introduction
Availability of accurate and content-rich supplier information is a necessity for every organisation.
Improved insight into supplier capabilities is critical for any activity related to the supplier, that
includes sourcing, category management, contracts, payments, etc.
Active management of supplier data has several very significant benefits for the organisation:
• helps firms to manage their active vendors, which results in less time that accounts payable
spend managing data and collecting information on suppliers organisation no longer deals
with.
• increases overall productivity and usage of procurement team’s time to focus on more
strategic tasks related to supplier selection, supplier evaluation and performance
management and category management.
• prevents poor data quality and inconsistent data standards for vendors, this results in more
time spent on obtaining, harmonizing, and enriching vendor information, rather than trying
to identify the accuracy of supplier information.
SourceDogg offers a simple and user-friendly solution that will allow vendors to self-serve and
provide required information on regular basis and automate the process of data updates in the ERP
systems.
Considerations before start
Several elements of data collection must be considered before the start of the project. We
recommend starting with looking at the desired final objective and then configuring the platform to
achieve this, keeping in mind the requirements of your organisation, available resources, and level of
integration and automation needed.
Please consider the following:
1. What data needs to flow to ERP and other systems and in what format?
Each ERP has different requirements when importing data from other systems. It is therefore important to consider the data that needs to flow from SourceDogg to another system, and what format this data needs to be in. This will influence the format of the questions in your Supplier Onboarding form and the Supplier Profile Custom Fields these questions populate. 2. What reports need to go to which users and of what subset of the data should they see? Not all your users need to see all your supplier data. Groups of users can be assigned to different views of supplier data or can be added to separate report distribution lists. Views of data are created through sub-pools based on the data the supplier have on their profile, e.g their category, are they
April 2018 Copyright by SourceDogg 4
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
approved or not and the country they are based in. You can also include what data in include and exclude Accurate and readily available data is a necessity for decision making, therefore the data collected from your suppliers should be exported to decision makers within your organisation. Customised regular updates could be set up to each category manager with data relevant for their category and their supply chain partners. 3. What searches are your users going to complete to find suppliers and have you captured
enough data to enable that search? You could potentially be collecting large amounts of data from your supply chain partners and you need to be able to search through hundreds of suppliers, finding ones that fulfill your current requirements. SourceDogg enables this provided you have collected this information through the system in the correct format. We recommend asking your suppliers to answer questions that will categorise them and allow you to filter on their capabilities, locations, company type, legal entity, etc. Finding the supplier to match your needs will then take a matter of seconds. 4. What is the matrix of certification and qualifications you demand from suppliers? Are you
capturing these to ensure suppliers are qualified to supply different categories of products and services?
Managing and reducing the supply risk it one of the main targets of supply chain professionals in the current business environment. A failure to verify supplier’s certifications before awarding the contracts might cause problems at a later date. SourceDogg features will allow you to collect certifications of your supply chain and these will be available for any member of your team by visiting their Supplier Profile in SourceDogg. Every supplier will be automatically notified when their certification is due to expire and asked to provide an update through their account, and this will also be immediately available to you. If the supplier fails to update their certification, a report can be scheduled to notify the responsible user so further action can be taken. Examples of certifications collected by our clients are ISO 9001 Quality Certificate, ISO 14001 Environmental management, OHSAS 18001:2007 Occupational Health and Safety Management Certification, or ISO 22000 Food safety management. The same approach can be used for collecting the insurance certificate, such as Product Liability, Employer’s Liability, or Public Liability. This functionality can also be used in a similar way to collect internal policy documents of your supplier, e.g. Health and Safety Policy, Anti-Bribery policy, Human Rights policy, Business Continuity policy or Equal Opportunities and Diversity policy. Below are the examples of outputs from SourceDogg after a Supplier On-boarding process.
April 2018 Copyright by SourceDogg 5
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Figure 1 Example of Contact Information on Supplier Profile
Figure 2 Example of Profile Custom Fields, includes both data collected by Supplier On-boarding and manually entered data
April 2018 Copyright by SourceDogg 6
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Figure 3 Supplier profile tags
Figure 4 Example of Certifications on Supplier Profile
April 2018 Copyright by SourceDogg 7
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Supplier Onboarding set up
Depending on the nature of the supplier that requires being on-boarded, we recommend setting up
several on-boarding questionnaires. These would include a “speculative” supplier on-boarding form
for any business expressing an interest in becoming your supplier, where the range of information
collected would probably be limited to simple contact information, category information, and
perhaps supplier certifications.
Existing suppliers or vendors identified as critical to the business would be required to provide
detailed information about the company, this could include the data such as registration number
details, VAT information, or banking details.
As described above, the most important characteristics of Supplier Master Data should be the
accuracy of the information and this can only be achieved by regular data updates. Due to nature of
the business and frequent changes to contact information, new capabilities of the supplier, or
changed banking information we recommend that organisations regularly refresh their onboarding
information with the use of separate “refresh” supplier onboarding questionnaire.
I want suppliers to register for the marketplace
Any vendor who contacts your organisation with an interest in becoming a supplier should be
subject to simple supplier on-boarding questionnaire that will allow you to make a later
determination on whether you have any interest in doing business with them. The content of this
form should be aimed at getting basic information from a supplier such as:
1. Contact information – name, address, email, website, phone details, etc.
2. Category information – a description of what products and services the vendor provides.
This information will later help with the selection of suppliers for any RFx and will grow the
supplier base, provide more competition and result in an opportunity for better prices and a
higher quality of products or services provided to your company
3. Product / Service delivery information – it is important to understand where vendors
deliver the products or provide the services. The importance of such information grows with
global suppliers and in case your organisation operates in multiple countries or regions.
4. Any other information your company considers essential – e.g. company registration
number or VAT number
I want to ensure the supplier meet my standards
For any existing vendor or supplier identified as critical to business, we would recommend using the
“full” supplier on-boarding questionnaire that will be extensive in content and collect all the major
information from your supplier. The types of information we recommend collecting could be split
into several sections:
April 2018 Copyright by SourceDogg 8
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
1. Contact information – as above
2. Category and delivery information
3. Financial information – would include the bank details, financial performance information
(revenue and gross profit margin information for previous years), tax information, invoicing
details, currency, etc.
4. Certifications – such as ISO 9001 Quality Certification, ISO 14001 Environmental
Management Certification, etc
5. Insurance – public liability insurance details, product liability, employer’s liability, etc.
6. Business Policies – Health & Safety policy, Business Continuity, Equal Opportunities and
Diversity, Anti-Bribery policy, etc.
This is only a very small selection of information you might need in your organisation and
SourceDogg can share the list of best practice questions used for the full supplier on-boarding so
nothing important is forgotten.
I want to update my supplier’s data
Your suppliers will be changing their banking details, addresses, contact people over the time you
deal with them and therefore it is a necessity to update the data you hold in their profile. The easier
solution to this to publish a separate questionnaire on SourceDogg and link it to your website so
supplier could alter the information as needed.
We recommend that data refresh questionnaire is a copy of the full supplier on-boarding so it will
allow the supplier to change any details they have provided previously. The data refresh
questionnaire should not have any mandatory questions so the supplier can only amend the details
that have changed since they were on-boarded. The updated information can go through the
approval workflow and be updated in your ERP through the process described in this document.
Open request set up
The Continuous Supplier on-boarding request in SourceDogg generates an URL link that can be
added to your website or sent to potential suppliers by email if required.
April 2018 Copyright by SourceDogg 9
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Data Structure
In SourceDogg, functionalities of profile custom fields and tags are used record the information
provided by a supplier on their profile and consequently to schedule reports. The approach we
suggest taking is to consider how the data collected are going to be used and which of the data must
be available for reporting, integration, or just available to be searched for in SourceDogg.
The below document provides guidance and will help you to identify the data that your organisation
need to report on, or data needed to create new supplier records in your ERP system.
https://www.sourcedogg.com/wp-content/uploads/2018/05/3.-Supplier-Onboarding-RFI-Pool-
Settings.xlsx
Custom Fields
The user can link the individual questions in the questionnaire to profile custom fields. The values
supplier responds these questions with will be transferred to their profile to the respective custom
field after the supplier review and approval process.
The data entered can then be found in the supplier profile in the “Company VAT” profile custom
field.
April 2018 Copyright by SourceDogg 10
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Tags
Certain types of questions (checkbox, radio button, dropdown list) can have supplier answers
transferred to tags on supplier profile. Such functionality facilitates multiple values to be added to
profile as searchable keywords and supports the feature of supplier filtering by category, company
type, etc.
The tags collected will be visible in the supplier profile below the description.
April 2018 Copyright by SourceDogg 11
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Tags support also the creation of “Saved Searches” which are predefined filters that can be assigned
to team members to either allow a quick search for approver suppliers per specific category or limit
the ability of team members to select supplier outside of the approved group.
Data Validation patterns
By using the validation patterns for questions, the buyer can enforce the format of the responses
from suppliers and improve the accuracy of the data collected. For example, it is possible to define
that a response to VAT number question will start with two capital letters followed by an
alphanumerical sequence of a minimum of 6 and maximum of 15 characters. If suppliers try to enter
any other text, this will be rejected and the supplier will not be able to submit their response.
April 2018 Copyright by SourceDogg 12
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Validation patterns are set up for each Profile Custom Field individually. SourceDogg customer
service holds validation patterns for main data types so please contact us on
[email protected] if you need any assistance.
Further information about the validation patterns can be found in the document available under the
link:
https://www.sourcedogg.com/wp-content/uploads/2018/01/User-Guide-16.-Validation-
patterns.pdf
April 2018 Copyright by SourceDogg 13
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Getting Responses
To simplify the process of supplier on-boarding and reduce the administrative burden, we
recommend setting up a procurement landing page on your organisation’s website where the
supplier can find the details on how to register their interest to become your approved supplier.
Website landing page
On the landing page, we recommend providing the details about SourceDogg platform and describe
step by step process your potential suppliers need to follow to register with you.
• Explain your organisation is using SourceDogg to collect supplier data and to publish the RFx
events and describe the value proposition to your suppliers.
• Provide a link to SourceDogg supplier registration page:
https://secure.sourcedogg.com/supplier-registration
• Explain to suppliers that the registration on SourceDogg is not the final step of the process
and they must answer your questionnaire to register with you
• Consider using multiple of forms, e.g. one for each product/service category and select
appropriate team members for each of them.
• Do not forget to add a link to your Change of Information form.
• Each supplier can only answer each of the forms once
April 2018 Copyright by SourceDogg 14
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Mailing campaign
When on-boarding the existing supply chain we recommend inviting the suppliers by email and
include the URL link to onboarding questionnaire or to your landing page. It is also worth considering
including some further information about the process, the benefits suppliers get using SourceDogg
and workflow for registration and answering your on-boarding questionnaire.
We suggest using email tracking services so the emails sent out can be monitored and information
such as opening rate, click rate or undelivered email is available and appropriate action can be
taken.
SourceDogg recommends using the email tracking platform SendGrid, which will allow you to get full
insight on the status of all emails sent to your suppliers and choose an appropriate action when
emails are not delivered or opened.
The details of this service can be found here: https://sendgrid.com/
Tracking the progress
Built-in reporting features of SourceDogg allow you to schedule reports to selected team members.
Request summary report will show the details of multiple requests and provide information whether
suppliers have accepted the invitation, responded, declined, etc.
April 2018 Copyright by SourceDogg 15
Supplier On-boarding Best Practice Using SourceDogg
ww
w.s
ou
rced
ogg
.co
m
Reporting
Daily interface report will provide the export of supplier’s data in the simple CSV file and can be
scheduled to be uploaded to Secure FTP server or emailed to the selected internal stakeholder. The
information collected can then be used to create or edit the supplier records in the ERP system.
SourceDogg reporting tool allows to fully customise the reports, including data fields (custom fields
in the supplier profile), filter the reporting data by tags or values in the custom fields (e.g. report per
each supplier category) and even select the event that triggers the report. This allows the report to
be sent every time the supplier is approved, or a value in the custom field is changed.