Buyers of information technology (IT) know that choosing the wrong supplier can createproblems that last for many years. The rate of technological change can make the perfect supplierobsolete within months. Unfortunately, it is usually next to impossible to switch to anew IT supplier quickly. For this reason, the selection process takes on added importance. ITexperts offer some sound suggestions when making supplier selection decisions:• Do not rely on only one supplier. Too many companies try to complete all of theircomputer technology buying using one or two big suppliers. Try to build a supplynetwork that includes some smaller suppliers that have promising emergingtechnologies.• Make sure you and the supplier are moving down the same road. Evaluate eachsupplier’s technology and product roadmaps. Are both organizations working towardplatforms, capabilities, features, and functions that are compatible?• Build your portfolio with the best. Choose suppliers that add strength to your abilityto add value to your end customer. Do not select suppliers simply becausethey offer a good purchase price.• Be a big fish in a little pond. Sourcing from the biggest supplier might bring agood purchase price but limits your ability to leverage. A smaller supplier may bemore motivated to innovate in your direction.• Know the supplier’s Internet strategy. Understand how your suppliers are usingthe Internet to add value to what they develop, manufacture, service, or
distribute.
Because information technology has become increasingly important to supply chain management,
making the right IT supplier selection decision can mean the difference between success
and failure.
Source: Adapted from “
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