What happens when your PunchOut catalogs don’t have the supplies that your lab needs? Usually, the scramble begins to find a vendor, any vendor, with the necessary lab supply in stock.
|However, proper lab supplier selection takes time and research. Business must be awarded on more than just faith and convenience.|
The supplier vetting process sets the tone for your future relationship. When done right, it garners stakeholder buy-in and ensures lower pricing, better delivery terms, enhanced customer service and more. When rushed, you lose leverage, leave money on the table and increase the risk of delivery and/or quality issues, which usually results in having to look for a different vendor in the not-so-distant future.
Here are 9 steps to follow when vetting suppliers / vendors for your lab:
End-to-end, this process can take a long time and be very manual. Thoroughly vetting suppliers requires significant lead time and must be done in a way that minimizes supply chain risk and reduces supplier switching costs, if applicable. The paradox is that time is not a luxury the lab usually has.
Complicating matters, some life sciences and biopharma companies may still be using clunky spreadsheets to solicit, compare, and evaluate bids.
|Some S2P and procure-to-pay (P2P) systems partially automate the supplier selection process and reduce cycle time. Self-service eCommerce marketplaces like ZAGENO make it even faster to find products by offering labs the ability to browse products from multiple, qualified vendors on the same platform, with real-time availability information and streamlined invoicing.|
While we may feel tempted to rush through the supplier selection process, especially when it comes to long-tail spend, we pay for it in the end. Proper, efficient supplier vetting is crucial to drive lab costs down, increase delivery reliability and accelerate product development.