How to Manage Vendor Quality Issues
Vendors delivering poor quality or missing deadlines? Here is how to hold them accountable.
The Problem
- Vendor consistently delivers late
- Quality of deliverables below expectations
- No performance data to support discussions
- Difficult to replace vendor because of lock-in
The Solution
- Define clear SLAs in the contract with penalties
- Track vendor performance monthly with scorecards
- Hold quarterly business reviews with data
- Maintain alternative vendor relationships
- Enforce contractual remedies when SLAs are breached
The Result
Companies with structured vendor management see 40% improvement in vendor performance.
Ready to solve this problem?