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I urgently need a paper on supplier performance evaluation.
With the competition in the international market gradually changing into competition among supply chains, the dynamic nature of supply chains has also been attached importance by enterprises. Therefore, it is necessary to strengthen the effective management and performance evaluation of suppliers to ensure the optimization of the overall efficiency of supply chains.

Keywords: supply chain management, supplier performance evaluation, supply chain optimization

1. Research on the Necessity of Supplier Performance Evaluation in Supply Chain Management Environment

Supply chain management is a management mode to optimize the operation of supply chain. Starting from supply chain procurement, the appropriate products are delivered to consumers timely and accurately at the lowest cost and reasonable price to meet the needs of end customers.

For supply chain management, suppliers are the key link of management and control. If there is a problem with supplier management, the downstream link will not be optimal. Therefore, for downstream enterprises, if the orders are handed over to the suppliers with good performance after evaluation, the quality of the products can be assured, and at the same time, good prices can be won. For suppliers, they can also benefit from the performance results of the whole supply chain. Therefore, the upstream and downstream enterprises in the supply chain management environment are a win-win strategic partnership, which can make the whole supply chain competitive.

In the production process of an enterprise, the procurement cost accounts for 30% ~ 80% of the total cost, and the procurement cost accounts for a large proportion of the total cost. The price and quality of products provided by suppliers determine the price of final products and the market competitiveness of commodities. A good supplier is the decisive factor of successful procurement, and an ideal supplier can reduce production costs and improve product quality and customer satisfaction of the whole supply chain. Therefore, the performance evaluation of suppliers is a key issue, and enterprises must evaluate and select suppliers.

Secondly, the research on several key indicators in supplier performance evaluation.

1. Cost control. Procurement cost control is a key issue in enterprise management, because the increase of procurement cost means the increase of product price, which is not conducive to the whole supply chain to participate in market competition.

In the process of purchasing cost control, the main supply chain enterprises should first make clear the positioning of the final product in the market, and determine the reasonable market price of the final product on the basis of comparing the same type of competitive products. On this basis, it is fed back to the upstream step by step, and the cost requirements of suppliers' products are put forward, and a parameter index is set accordingly to evaluate and examine suppliers.

2. Timely delivery. The second indicator of supplier performance evaluation is the timeliness of supply. Because most of the products on the market at present belong to the demand-side market, customers have a lot of choices, so the pressure on the whole supply chain is very great. The timeliness of supply is an indicator of customer demand that has to be faced.

The main enterprises in the supply chain calculate according to the customer demand time, and decompose and calculate the product production and processing time and raw material supply time step by step. Therefore, when selecting suppliers, there is a quantifiable evaluation index, which requires suppliers to supply goods in time according to the production needs of major enterprises in the supply chain.

As for the specific mode of supply, the two parties can negotiate with each other. For example, if the supplier is close to the production enterprise, it can be sent directly to the production line by JIT, and if the supplier is far from the production enterprise, it can be sent by VMI.

3. Reliable quality. The importance of supplier management is not only reflected in cost and time, but also in product quality. As suppliers are the source of supply chain management, the quality of raw materials directly determines the quality of final products in the supply chain.

When evaluating suppliers, we should strictly evaluate and control the production quality of raw materials.

First of all, the quality requirements of raw materials should be determined according to the requirements of the final product. The whole supply chain should formulate different product quality strategies according to customer needs, and then put forward quality requirements for suppliers to improve the cost performance as much as possible to meet the different needs of different customers.

Then, suppliers are required to establish quality specifications for the whole process of raw material production. Suppliers are required to strictly monitor machinery and equipment, staffing, raw material manufacturing technology and spare parts, and at the same time, suppliers are required to conduct random inspection or full inspection of their products.

Finally, send experts to follow up the service. The main enterprises in the supply chain send experts to serve the supplier enterprises directly, which is simply to supervise the production process of products. Make a better choice of materials and advanced production technology, so that the production of raw materials can better ensure the quality and satisfy more consumers. Third, how should China enterprises implement supplier performance appraisal?

1. Set up a selection team. Enterprises set up special teams to control and implement supplier management. Team members come from departments closely related to supply chain cooperation, such as procurement, quality, production and engineering. These members should have team spirit and certain professional skills.

The selection team should get in touch with the preliminary selected suppliers to confirm whether they are willing to establish a supply chain cooperation relationship with the enterprise and whether they have the desire to obtain a higher performance level. Enterprises should involve suppliers in the design process of selection as soon as possible. However, an enterprise's strength and resources are limited after all, and it can only maintain close cooperation with a few key suppliers, and all participating suppliers should be as few as possible.

One of the main tasks of selecting suppliers is to investigate and collect all-round information about the production and operation of suppliers. On the basis of collecting supplier information, we can use certain tools and technical methods to select suppliers.

In the process of implementing supply chain cooperation, the market demand is constantly changing, and enterprises can modify the supplier selection criteria in time according to the actual situation, or start supplier evaluation and selection again.

2. High-level attention. The top leaders of supply chain node enterprises play a decisive role in the final quality of supply chain products.

When evaluating and selecting suppliers, senior leaders of both parties should directly participate. When enterprises decide to join the supply chain after examination, they should go all out to support the optimization of the overall operation efficiency of the supply chain. The primary performance of support behavior is the participation of senior leaders. The participation of senior leaders can strengthen the attention of management at all levels of enterprises, promote the operation of various standardized management and ensure product quality. In addition, if there are problems in the process of cooperation, the two sides can better negotiate and solve them, with the aim of ensuring the best interests of the supply chain as a whole.

3. Establish a sound information system. A perfect information system can better implement supplier performance appraisal. A perfect information system is mainly embodied in two aspects. On the one hand, a single enterprise already has a good information system, including good management behavior, computer software and hardware capabilities, human resources and so on. Specific applications include enterprise OA system, ERP system, product design system, etc. On the other hand, it is the main enterprise based on supply chain, which involves the information system of the whole supply chain. This involves the horizontal integration of information among supply chain enterprises, and with the support of information system, the supply chain is faster and smoother. A perfect information system enables the main enterprises in the supply chain to know the operation efficiency of the whole supply chain well, and it is convenient for enterprises to find the bottleneck nodes of the supply chain, so as to evaluate the efficiency and reflect the dynamic characteristics of the supply chain.

References:

Ma Shihua. Supply chain management. Beijing: Renmin University of China Press, 2008.

[2] Zhao. Enterprise logistics management. Beijing: Machinery Industry Press, above 2004 is for reference only!