E-commerce companies need to evaluate suppliers regularly, so it is very important to establish a comprehensive supplier evaluation system. The supplier comprehensive evaluation system usually involves the following aspects

(1) Performance capability

Performance capability is an important indicator for e-commerce companies to evaluate suppliers. The performance capability of suppliers is usually reflected in the following aspects

Supply performance: including the fulfillment of delivery quantity, quality of goods, delivery time, adaptability to packaging and transportation requirements, accuracy and completeness of invoices, etc.

Response capability: The shorter the supplier’s response time to orders, the stronger the performance capability.

Inherent conditions: including production plans, production capacity and equipment conditions, etc.

(2) Financial status

Financial status is an important indicator for evaluating suppliers. By understanding the financial status of suppliers, e-commerce companies can analyze the stability and growth of their operations. When analyzing the financial status of suppliers, e-commerce companies need to pay attention to two aspects.

Financial strength: refers to the supplier’s financial resources, with specific indicators such as assets, net assets and cash flow.

Operational capability: refers to the supplier’s profitability, with specific indicators such as sales and net profit.

(3) Cost

The supplier’s cost profoundly affects the final selling price of the product and the input-output ratio of the supply chain, determines the profit of the e-commerce company, and is an important indicator for evaluating suppliers.

(4) Quality management level

Product quality is a powerful weapon for e-commerce companies to win the market and is the key to improving efficiency. Therefore, e-commerce companies need to pay attention to the supplier’s quality management level.

(5) Organization and management level

Organization and management level is an important factor in the supplier’s comprehensive evaluation system, including the following indicators:

Management commitment;

Stability of personnel;

Training and qualification certification of personnel;

Technical capabilities;

Equipment capabilities;

Industry status;

Operational stability.

In addition to the above important aspects, e-commerce companies can also set some other indicators, such as the social responsibility of suppliers.

Tips

When establishing a comprehensive evaluation system for suppliers, e-commerce companies must ensure that the indicators are comprehensive and targeted. For example, when the product is fragile such as glass products, e-commerce companies need to set more indicators in terms of transportation safety and reliability.