Supplier Relationship Management Technology Definition
Supplier relationship management (SRM) technology is a set of tools and processes that companies use to manage interactions with their suppliers. The goal of SRM is to create a collaborative, mutually beneficial relationship between the company and its suppliers.
SRM technology typically includes tools for supplier performance management, contract management, and spend analysis. Supplier performance management is the process of monitoring and assessing supplier performance. This information can be used to improve supplier relationships and negotiate better terms. Contract management is the process of creating, approving, and managing contracts with suppliers. Spend analysis is the process of understanding how much money a company spends on each supplier.
SRM technology can help companies save money, improve quality, and reduce risk. When used effectively, SRM can be a powerful tool for competitive advantage.
