IVI Framework Viewer

Representative POMs are described for Supplier Identification and Selection at each level of maturity.

1Initial

• Practice

  Best endeavours of available personnel.

2Basic

• Practice

  Send a Request for Information (RFI) to potential suppliers.

  Outcome

  There is an overview of potential suppliers to assist in the selection process.

  Metric

  % of IT suppliers selected based on a standardized approach

• Practice

  Undertake supplier selection process using a defined process.

  Outcome

  All suppliers are selected fairly.

  Metric

  % of suppliers selected via the defined cooperative process

3Intermediate

• Practice

  Establish a detailed process to select IT suppliers, including an initial list of candidates, RFIs, short list, RFPs, and final selection.

  Outcome

  Supplier selection follows a standard process that can be reproduced.

  Metric

  % of IT suppliers selected based on a standardized approach

• Practices

  • Implement a supplier classification policy.
  • Criteria may include spend, business criticality of services, strategic importance, complexity/frequency of changes in requirements, and switching costs.

  Outcome

  Classification allows relationship management to be effectively focused on prioritized and preferred suppliers.

  Metric

  % of the supply base that is classified

4Advanced

• Practice

  Distinguish between a first-time bid and a renewal bidding process to ensure that selection criteria reflect the corporate business strategy and include a cultural fit assessment.

  Outcome

  Supplier selection in a renewal of a sourcing contract takes into account that the incumbent has a much deeper organizational knowledge.

  Metric

  % of IT suppliers renewed based on a standardized approach

• Practice

  Fully integrate supplier selection with the organization-wide procurement process.

  Outcome

  Selected suppliers are suitable based on performance and cultural fit

  Metric

  # of supplier landscape analyses conducted organization-wide% of selected suppliers fitting in with the company culture aspect

5Optimized

• Practice

  Evaluate the supplier's own business case during the process of selecting the optimal supplier.

  Outcome

  The supplier has a realistic opportunity to deliver on a timely and reliable basis.

  Metric

  % of selected suppliers realizing their business cases that are evaluated

• Practice

  Continually review and optimize the supplier selection process and criteria, and their interaction with the organization-wide procurement process.

  Outcome

  Realized synergies can be optimized.

  Metric

  # of joint meetings with procurement# of synergies realized