Implementing supplier segmentation involves several steps:
Data Collection: Gather relevant data on suppliers, including financial metrics, performance indicators, and market information. Define Criteria: Establish the criteria for segmentation based on business goals and supply chain dynamics. Segment Suppliers: Use chosen models and criteria to categorize suppliers into distinct segments. Develop Strategies: Formulate tailored strategies for each segment to optimize supplier management. Monitor and Review: Continuously monitor supplier performance and review segmentation to ensure it remains relevant.