How Canopy improves supply chain governance and performance
Wouldn't it be great for Procurement to improve the governance of supply chains and measure supplier performance better?
There's never been a more important time to improve your strategic approach to your supplier management. Inflation is still running high, while there are ongoing supply chain challenges from a variety of sources. Knowing that you can count on the suppliers you've got is vital to running your procurement operations effectively. And Canopy can help you do that by bringing all your supplier data into one platform. We run an occasional series of blogs focusing on one key feature of Canopy. This time round, it's governance and performance.
ProcureTech that elevates governance and performance across supply chains
Canopy is the common interface between you and your supplier. As the trusted vendor master data record, it becomes the primary conduit through which to manage all aspects of the relationship with your suppliers. Think of it as a CRM for Procurement.
You'll be able to adopt a consistent approach to managing your suppliers, with a certain number of essential data points. Where you require more detailed quality assurance, tailored performance questionnaires allow for a thorough assessment from local stakeholders. This highlights excellence or below-par delivery and can help stakeholders avoid repeating costly supplier mistakes by leveraging performance scores across the business.
Here we focus on four business benefits of Canopy when it comes to supply chain governance and supplier performance:
1. Comparing suppliers on a quantitative and qualitative basis
Using really rich supplier performance information across an organisation is a notoriously difficult task. Capturing the data in the first place is time-consuming, while there are numerous problems in sharing the data (from access permissions to version control). Canopy can track quantitative performance data and log any issues with under-performance such as a delayed delivery. And it enables your internal stakeholders to rate suppliers with feedback, providing a quick and easy qualitative comparison between suppliers. The platform makes quantitative and qualitative feedback accessible to approved internal users.
2. Defining thresholds for spend by category and geography
It can be difficult to maintain a focus on the bigger picture without the right supplier data. Canopy's governance rules allow you to define thresholds of spend, risk, performance, and any other data point. You can set rules for categories of supplier, for instance requiring more data fields for riskier or higher-value suppliers. And you can differentiate the data you capture in different jurisdictions. But within each category or geography, you'll have the same information about all your suppliers.
Canopy won't automatically scan your supplier base to see where you can spend less. But it does help you understand how many suppliers you have in a category. By allowing you complete visibility of your suppliers, the platform can prompt you to rationalise your spend where you can. And you can focus your energy on where you can make the biggest difference as procurement professionals: enhancing value for money and keeping spend under control.
3. Managing the Supplier Lifecycle
It's always helpful to have a list of those suppliers with whom you've already dealt successfully. But anyone in Procurement knows that maintaining preferred supplier lists can be a nightmare. Canopy allows you to manage changes in supplier status or classification easily. This allows for the promotion or demotion of specific companies. The platform filters the information through to the right people so that everyone is aware of any change in status.
4. Knowing your suppliers better
Without a central repository of supplier data, it can be difficult to know what your suppliers are up to and how they're developing their own business. With Canopy, you can improve your knowledge about what your suppliers are doing. Suppliers can maintain marketing information, so that buyers learn about new products and services. Buyers can then more easily raise quotation requests. This makes you a better customer - and we all know that high-quality supplier relationships make for better business.
#Governance #SupplyChain #SupplierPerformance #Canopy #Features #ProcureTech
To find out more about Canopy's abilities to managing governance and performance proactively throughout your whole supply chain, contact one of the team today.
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Post by Nick Verkroost
Nick is an experienced business leader and the CEO for Canopy (OCG Software), the rules-based Supplier Management platform. Nick's focus is on commercial and operational excellence and ensuring our clients maximise the opportunities that Canopy offers.