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SUPPLIER DEVLOPMENT PROGRAM (SDP) PLANNING & IMPLEMENTATION- TYPICAL JOURNEY
ENGAGE & PROMOTE SDP TO STAKEHOLDERS
Hold Events To Promote SDP With:
Internal Stakeholders
•Executive leadership team
•Procurement,/Supply chain
•Finance
External Stakeholders
• Suppliers
•Regulatory bodies
•Industry associations.
Supplier Motivation to participate ?
INTERNAL PREPARATION
Supplier Assessment Framework
Develop:
• Supplier assessment framework
• Baseline assessment
•Supplier Performance KPIs (quality, cost, etc.)
Supplier Segmentation
Categorize suppliers (e.g):
Strategic / Transactional Developmental
ASSESS SUPPLIERS
Assess Supplier performance before introducing the supplier development program
ENGAGE ASSESSED SUPPLIERS
•Discuss assessment result with suppliers
•Reach agreement on improvement goals with milestones, comprehensive process
•Obtain supplier’s endorsement to collaborate to achieve improvement goals
BUILD SUPPLIER IMPROVEMENT PLAN
Using the assessment result:
•Develop customized supplier improvement plans
•Develop implementation plan with milestones & timeline
•Jointly agree on the improvement and implementation plans
•Identify resources & implementation team
IMPLEMENT IMPROVEMENT PLAN
Mobilize:
•Selected suppliers
•Resources
•Implementation team
•Announce the launch campaign
•Start supplier induction to SDP program
•Implement Supplier improvement plan
FOLLOW-UP/TRACKING
•Track progress using a dashboard showing:
•Activity list
•Planned V Actual progress
•Take early remedial measures to resolve issues, challenges
•Seek timely stakeholder support
ASSESS SUPPLIERS ON COMPLETING SDP
Assess Supplier performance after the roll out of the supplier development program
DOCUMENTATION
•Analyze the results
•Document lessons learnt
•Develop recommendations
•Submit documents to client
SUPPLIER AWARDS
•Hold an awards event to
•Distribute awards to successful suppliers
SDP ROI
•Enhanced supplier capabilities ?
•Stronger Supply chain ecosystem?
•Saudi innovation and growth?
•Replicate improved SDP version