Vendor management is the central, responsible controlling authority for all activities relating to sourcing contracts with vendors and is therefore an essential competence of the retained organisation for controlling these vendors. For this purpose, a professional and technical assessment capability must remain within the company.
The focus is on vendor relationship management with operational and analytical aspects of vendor relations and cooperation. Close networking with and prompt communication with the vendor improves the speed of reaction and the ability to act.
In addition to service management in the operative business, direct cooperation with vendors regarding cross-functional activities and troubleshooting is also part of our work. The aim is to ensure the smooth flow of services outsourced using information technology.
The control of the service level agreements is part of the service management. Regularly we report and review performance indicators and agreed service levels to identify and manage deviations.
In parallel with performance management there is cost management. The intention is to constantly monitor and control costs. On the one hand, costs are contrasted with performance and on the other hand, potential savings are analysed.
We consider the identification of potential sources of risk and the implementation of targeted and ongoing risk assessments and criticality evaluations, as well as the classification of vendors, to be part of vendor risk management (VRM). We also administer and manage outsourcing risks up to their regular review and qualified documentation at their final closure.