Supplier Relationship Management Matrix

The Supplier Relationship Management Matrix is a 2x2 matrix used to evaluate the relationship between a company and its suppliers. It helps to identify areas of improvement and prioritize strategies for supplier relationship management.

At a very high level, the Supplier Relationship Management Matrix is used in the context of business, finance.

Supplier Relationship Management Matrix quadrant descriptions, including examples
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What is the Supplier Relationship Management Matrix?

A visual explanation is shown in the image above. The Supplier Relationship Management Matrix can be described as a matrix with the following quadrants:

  1. Important & Good: Suppliers who are important to the company and have a good relationship, e.g. a supplier of high-quality parts at a reasonable price.
  2. Important & Poor: Suppliers who are important to the company but have a poor relationship, e.g. a supplier who is slow to deliver and charges high prices.
  3. Unimportant & Good: Suppliers who are not important to the company but have a good relationship, e.g. a supplier of low-cost parts with a good delivery record.
  4. Unimportant & Poor: Suppliers who are not important to the company and have a poor relationship, e.g. a supplier who is slow to deliver and charges high prices.

What is the purpose of the Supplier Relationship Management Matrix?

The Supplier Relationship Management Matrix is a 2x2 matrix used to evaluate the relationship between a company and its suppliers. It helps to identify areas of improvement and prioritize strategies for supplier relationship management.

The matrix consists of four quadrants, each representing a different type of relationship between the company and its suppliers. The top left quadrant represents suppliers who are both important to the company and have a good relationship. The top right quadrant represents suppliers who are important to the company but have a poor relationship. The bottom left quadrant represents suppliers who are not important to the company but have a good relationship. The bottom right quadrant represents suppliers who are not important to the company and have a poor relationship.

The Supplier Relationship Management Matrix can be used to identify areas of improvement and prioritize strategies for supplier relationship management. For example, a company may decide to focus on improving relationships with suppliers in the top right quadrant, as they are important to the company but have a poor relationship. Alternatively, a company may decide to focus on improving relationships with suppliers in the bottom left quadrant, as they have a good relationship but are not as important to the company.


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What templates are related to Supplier Relationship Management Matrix?

The following templates can also be categorized as business, finance and are therefore related to Supplier Relationship Management Matrix: Effort Impact Matrix, Gap Analysis Matrix, Growth Share Matrix, Kraljic Matrix, Outsourcing Matrix, Quadrant Analysis, Risk Analysis Matrix, Risk Value Matrix. You can browse them using the menu above.

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