Vendor Management

Vendor management is the process of strategically managing relationships with third-party suppliers and service providers to ensure optimal performance, compliance, and value delivery. It involves selecting vendors, negotiating contracts, monitoring service quality, managing risks and evaluating performance against agreed metrics. Effective vendor management helps organizations reduce costs, ensure continuity of supply, mitigate risks and drive innovation. It also includes governance practices such as onboarding, communication protocols and issue resolution. Commonly used in procurement, information technology, and operations, vendor management is essential for building strong, collaborative, and accountable partnerships.