Benchmark supplier relationship management in your organisation

For the past 8 years we have been gathering feedback on the latest developments and trends in supplier relationship management best practice. Our comprehensive research not only provides SRM practitioners with valuable insights on the state of SRM and anticipated developments, it can also be used as a tool to encourage executive buy-in within your organisation.

SRM needs to be viewed as a business change programme for it to gain traction and deliver real, sustainable business value for an organisation.

Over the years, we have gathered and analysed input, and commented on key aspects of SRM from over 1,200 companies. By participating in this year’s research, you will receive your SRM index score which will help you benchmark how your SRM activities compare against best practice. Upon completion of the SRM researchyou will receive your SRM index score immediately. You can also request a complimentary benchmark of your activities vs the SRM leaders and your industry peers. 

What is the SRM index?

The SRM index score is an easy way to baseline your organisation’s SRM capability against best practice and set a target for improvement. It can help you understand where you are on the journey towards SRM excellence compared to other companies or it can tell you how your organisation has improved in the last year.

It starts with the six pillars of SRM best practice. Over the last ten years, we have developed and refined our model of SRM excellence, the six pillars of SRM:

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The pillars represent key themes and activities that are common to successful SRM programmes. While each pillar is important in its own right, it is really the combination of activities that make for the most successful SRM outcomes.

We calculate the index score based on the self-assessed responses received to specific questions within our survey. These questions are selected to reflect what organisations are actually doing and experiencing and are weighted to reflect their importance to an effective overall approach to SRM. Scores are calculated for each of the six pillars and the SRM index is the average across all six.

How does it work?

A single score can tell you where your organisation sits in our SRM 4-level maturity model: advanced, established, developing or undeveloped.

The example shown below could be your company (red line). A score of 2.4 out of 6 would place SRM in the developing segment. This would indicate that:

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Business Drivers & Value Stakeholder Engagement & Support Governance & Process People & Skills Information & Technology Relationship Development & Culture
The value of SRM is not fully understood and you’re yet to link it to your business drivers. It’s unlikely that real SRM value is being delivered. A good level of stakeholder engagement and support has being achieved up to this point. Supplier segmentation has taken place and the relevant governance models are in place. The SRM role has been defined and the requisite skills identified. SRM training solutions will be in place. Current IT systems do not provide adequate support to SRM and are likely inhibiting its development. Relationships are not sufficiently developed with little collaboration or innovation taking place. Few suppliers will regard you as a customer of choice.

This single numeric indicator of SRM maturity can help you quickly and easily understand where your organisation ranks against our maturity model; a benchmark against which the maturity of SRM activity can be consistently measured. 

What’s your SRM index score? Don’t miss out on the opportunity to find out, take part in our SRM research.

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