Key Performance Indicators (KPIs) for Suppliers are the metrics used to monitor, measure and evaluate supplier performance. They provide an insight into a supplier’s ability to consistently meet agreed-upon standards for quality, delivery and cost. By clearly defining KPIs, companies can ensure their suppliers are meeting expectations and help them identify areas for improvement. The best KPIs are easy to understand and translate into concrete actions that both buyers and suppliers can take. With clear KPIs in place, organizations can nurture better relationships with their suppliers and save money in the long run.