How A Source-to-Contract Solution Can Alleviate Vendor Performance Pain Points
As a procurement manager, one of the most difficult tasks is to efficiently track, score, and evaluate the performance of vendors after the contract has been signed and the service has begun. Whether an organization is working with a long-term supplier or a new vendor, it's crucial to have tools and resources that help assess vendor performance.
Without having a clear understanding of the vendor's activities, organizations cannot accurately determine which suppliers are meeting their obligations, let alone determine if the investment in the vendor is providing good value for the buyer.
A Source-to-Contract (S2C) solution with built-in tools including vendor registration, evaluation, contract management, and performance management provides a significant advantage by detecting vendor risks and taking necessary actions promptly, ultimately limiting the possibility of vendor performance issues.
Vendor Risk Assessment
As part of Bidnet Direct’s S2C solution, vendor performance management users have access to cutting-edge risk reduction tools that enable them to recognize quality and regulatory compliance problems linked to vendors. They can collect feedback and performance insights, evaluate work performance as a project progresses, and communicate with vendors to initiate discussions and corrective measures as needed- all digitally tracked and fully auditable for future needs.
Vendor Scorecards to Evaluate Performance
Procurement managers and department managers or end users benefit from being able to tailor evaluation criteria and scorecards for each vendor, as each vendor specializes in a different area. The S2C solution enables purchasing teams to do just that. It also features automatic scheduling of deadlines and reminders, tracking of project deficiencies or infractions throughout the project's lifecycle, detailed evaluation scoring grids with weighted factors as needed, and an optional feature allowing vendors to view and comment on their performance evaluations.
Interactive Vendor Evaluation
The interactive evaluation feature simplifies the evaluation of vendor performance and the creation of comprehensive reports, which can also include the contractor. This interactive feature enables the quick resolution of any disagreements between buyers and vendors, allows for the revision of completed assessments to guarantee satisfaction, and offers automated compliance calculations for the project and individual vendor scores.
The process of evaluating vendor performance can be a challenging and time-consuming task for purchasing departments and the internal customers they serve. It is crucial to assess vendors thoroughly and fairly, while also ensuring that they adhere to the strict compliance standards common to modern procurement practices. Bidnet Direct’s Source-to-Contract solution offers a comprehensive suite of tools that helps procurement managers efficiently evaluate their vendors and ensure their compliance with procurement standards.
Find out how BidNet Direct can help your government organization improve compliance! 
