What are the best practices for designing a supplier performance dashboard?

Actually they are the dimensions of the supplier performance, which can be easily confused with goals or objectives. That is, what key dimensions constitute the true supplier performance my organization wants from a supplier. Those key dimensions are meaningful and measurable. That a dimension is meaningful means it is what my organization really wants from a supplier. That a dimension is measurable is one supplier can be compared with another and the supplier can be tracked over time. By saying goals and objectives we confuse something we own with other things we do not own. we can set up goals and objectives for internal operations but we don’t own external ones, so we can only observe though we may help but never own.

Reviewing supplier performance one by one is a useful exercise. That can be performed at the category level. Some KPIs will be consistent across all vendors. It may also be necessary to consider customizing at the individual supplier level. There could be something unique about their market position or access to scarce resources. These supplier level scorecards should align with Department objectives, which should be aligned with overall business objectives ( not just to drive continuous improvement in supplier performance overall). Look for solutions that can aggregate all your data and show big-picture results !!!!

Key metrics for any Supplier Dashboard should include the following KPIs such as : - Cost - Innovation - Delivery - Contract Compliance - Business Continuity - Financial Stability - Personnel Performance (where applicable - Quality of Service or Product delivered

How to monitor a supplier varies with how transparent the supplier is to you. Simply put, a transactional relationship based supplier differs significantly from a strategic relationship based one. For the former, you can only observe externally and collect data after impact and from results, but you can monitor at least three dimensions: cost, quality and delivery. These three dimensions cannot be confused with metrics. A metric is a quantified way or an algorithm used to measure the dimension. A metric can truly reflect the dimension or wrongly measure it. As an organization you must be sensitive about the gap and strive to bring them in line. The gap may result from your employees in lack of training or a metric mismatched.

For a strategic relationship based supplier, part of your system is actually linked with the supplier’s. A Keiretsu supplier, a Japanese style one (originally an American invention according to Peter Drucker), even becomes one of your business units integrated into your whole value chain, though it operates financially, legally independently to keep the total operational costs lower than acquired . In this situation the cross-enterprise teams work closely and transparently to identify “waste” and solve problems together. You can set up goals and objectives for the supplier to achieve, such as to lower the production cost by 5% every year, etc. Only for a strategic relationship based supplier you can set up goals/objectives.

Selecionar métricas relevantes é crucial para um painel de desempenho eficaz. Escolha indicadores-chave de desempenho (KPIs) que sejam alinhados com seus objetivos e que ofereçam uma visão abrangente do desempenho dos fornecedores. Exemplos de métricas incluem: 1 - Qualidade do Produto; 2 - Pontualidade de Entrega; 3 - Conformidade do Fornecedor; 4 - Custo; 5 - Flexibilidade; 6 - Sustentabilidade. Escolher um conjunto equilibrado de métricas que cubram qualidade, custo, entrega e conformidade garante uma avaliação abrangente.

I would also add to Ramans list Safety Sustainability Diversity Social Activities Agree that they need to be clear, relevant and used to measure performance by both parties.

There are generally two mistaken views about data. First, Data are only numerical; next, data are absolutely facts. Though we can say most data collected are numerical, the majority of data untapped are non numerical ones. For example, the record on a meeting with your supplier is non numerical. non numerical data can be redesigned into numerical ones that are measurable. However, data don’t always reflect reality; it is not unusual they are wrong or misleading . This requires a careful design of data collection, followed by data validation. Usually validation calls for cross checking from different data sources and non numerical data collection efforts. For example, your gut can tell data are wrong after one of your plant tours.

Projetar um layout claro e intuitivo é essencial para a eficácia do painel. Organizar as métricas de forma lógica, agrupando-as por categorias como qualidade, entrega, custo e conformidade. Utilizar gráficos, tabelas e indicadores visuais, como semáforos e medidores, para facilitar a interpretação dos dados. Garantir que o painel seja responsivo e acessível em diferentes dispositivos, como computadores, tablets e smartphones. Um layout bem projetado permite que os usuários entendam rapidamente o desempenho dos fornecedores e tomem decisões informadas.

Antes de lançar o painel oficialmente, é importante testá-lo e refiná-lo. Compartilhar o painel com um grupo selecionado de usuários para obter feedback sobre a usabilidade, clareza e relevância das métricas. Identificar quaisquer problemas técnicos ou de layout e fazer os ajustes necessários. Realizar testes de desempenho para garantir que o painel seja rápido e responsivo, mesmo com grandes volumes de dados. A fase de testes e refinamento garante que o painel atenda às necessidades dos usuários e funcione conforme esperado.