// ROBOTICS AND SMART FACTORIES TERM
Vendor Management
Vendor management is the process of overseeing and controlling the relationships and contracts with companies that supply goods or services. It ensures that vendors meet expectations and deliver value.
TECHNICAL DEFINITION
Vendor management is the strategic process of selecting, onboarding, monitoring, and optimizing relationships with third-party suppliers to ensure performance, compliance, cost-effectiveness, and risk mitigation across the supply chain.
BACKGROUND
In commerce, supply chain management (SCM) deals with a system of procurement, operations management, logistics and marketing channels, through which raw materials can be developed into finished products and delivered to their end customers. A more narrow definition of supply chain management is the "design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronising supply with demand and measuring performance globally". This can include the movement and storage of raw materials, work-in-process inventory, finished goods, and end-to-end order fulfilment from the point of origin to the point of consumption. Interconnected, interrelated or interlinked networks, channels and node businesses combine in the provision of products and services required by end customers in a supply chain.
READ MORE ON WIKIPEDIASYNONYMS & ALIASES
- Supplier Relationship Management
- SRM
- Supplier Management
- Procurement Management
USAGE NOTE
Effective vendor management reduces supply chain risks and improves operational efficiency.
DEVELOPERS
Organizations developing technology related to Vendor Management.
SAP develops enterprise software to manage business operations and customer relations. Its SAP Ariba and SAP S/4HANA solutions provide comprehensive tools for procurement, supplier lifecycle management, and creating collaborative digital supply chains, which are central to vendor management.
Oracle offers a suite of cloud-based applications, including Oracle Fusion Cloud SCM (Supply Chain Management & Manufacturing). This platform includes modules for procurement, supplier qualification, and supply chain collaboration, enabling manufacturers to manage their vendors effectively.
Coupa provides a cloud-based Business Spend Management (BSM) platform. It helps companies gain visibility and control over all their vendor-related spending, from procurement and invoicing to expense management, streamlining the entire source-to-pay process.
Ivalua offers a unified Source-to-Pay (S2P) suite that allows manufacturing companies to manage all their suppliers and spend. The platform covers supplier risk management, sourcing, contract management, and payments.
GEP delivers AI-powered procurement and supply chain software. Their GEP SMART platform is a unified source-to-pay solution that helps companies manage supplier information, performance, risk, and overall relationships within a single digital environment.
Infor provides industry-specific business cloud software. Their CloudSuite solutions for manufacturing include integrated supplier relationship management (SRM) and supply chain management tools that help companies connect and collaborate with their supply network.
Jaggaer develops comprehensive source-to-pay solutions with a strong focus on supplier management. Their JAGGAER ONE platform provides tools for supplier onboarding, qualification, performance evaluation, and risk management, tailored for manufacturing and industrial sectors.
Icertis specializes in enterprise contract lifecycle management (CLM) in the cloud. Its AI-powered platform turns contracts into strategic assets, providing critical vendor management functions like ensuring supplier compliance, managing obligations, and mitigating supply chain risks.