Supplier Management

Build Strong, Collaborative Supplier Relationships for Mutual Growth and Innovation

In many organizations, supplier relationships are still managed mainly around price, delivery, and operational issues. But effective supplier management does more than secure cost and quality—it encourages innovation, reduces supply chain risks, and creates long-term competitive advantage.

Sirius’s Supplier Management Advisory takes supplier relationships beyond a transactional approach, transforming them into a strategic framework focused on performance, risk, and collaboration. The goal is to build a supplier ecosystem that is aligned with company objectives, sustainable, and value-creating.

Common Challenges

This service has high impact for organizations facing:

• Supplier performance that is not measured objectively or regularly

• Key supplier relationships dependent on individual contacts

• Limited visibility of supply chain risks (financial, operational, geopolitical, etc.)

• Misalignment between contract terms and operational practices

• Minimal innovation or continuous improvement from suppliers

• Lack of clear differentiation between strategic and operational suppliers

Sirius Approach

We view supplier management not as a control mechanism but as a partnership that creates value for both sides.

1. Current State and Supplier Analysis (As-Is)

• Evaluate the existing supplier portfolio and relationship structure

• Analyze supplier performance criteria and measurement methods

• Assess risk, dependency, and critical suppliers

• Review current contracts, SLAs, and compliance frameworks

2. Strategic Supplier Management Model (To-Be)

• Segment suppliers into strategic, critical, preferred, and operational categories

• Design performance- and risk-based evaluation models

• Establish a Supplier Relationship Management (SRM) approach

• Implement mechanisms for innovation, continuous improvement, and joint value creation

3. Implementation and Governance

• Set performance KPIs, scorecards, and regular review processes

• Monitor risk with early warning mechanisms

• Strengthen contract compliance and commercial discipline

• Clarify roles and responsibilities across procurement, quality, operations, and finance teams

Methodologies and Tools Used

• Supplier segmentation and critical supplier analysis

• Supplier performance scorecards (KPI & SLA)

• Risk assessment and sustainability analysis

• SRM frameworks

• Contract and compliance evaluation tools

All methodologies are designed to be practical, measurable, and directly linked to business outcomes.

Tangible Outcomes

Organizations completing this program typically achieve:

• Improved supplier performance and delivery reliability

• Reduced supply chain risks and operational disruptions

• Increased innovation and improvement contributions from suppliers

• Stronger contract compliance and commercial discipline

• A more transparent, manageable, and strategic supplier portfolio

• Long-term, sustainable partnerships

Who Is This For?

This service is especially suited for:

• Procurement Managers and Directors seeking to elevate supplier relationships to a strategic level

• CPOs aiming to manage performance, risk, and innovation together

• CFOs looking to reduce supplier-related financial and operational risk

• Supply Chain and Quality Leaders managing complex supplier networks effectively

• Senior Business Leaders aiming to maximize value from the supplier ecosystem