Most experts or firms experienced in collecting supplier evaluation information prefer doing so using five-step processes for determining which to approve.
[5][6][7] Their processes often take the form of either a questionnaire or interview, sometimes even a site visit, and includes appraisals of various aspects of the supplier's business including capacity, financials, quality assurance, organizational structure and processes and performance.
The benefits typically include sourcing from suppliers that provide high standards of product and service levels whilst offering sufficient capacity and business stability.
Such a department can take a considerable amount of resources, thus management's commitment and support of a supplier evaluation process is essential.
Some products provide functionality for combining both initial selection and ongoing evaluation and benchmarking.