Managing Vendor Qualification, Performance & Contract Compliance

About the Course

This 5-day intensive Managing Vendor Qualification, Performance & Contract Compliance training course provides a comprehensive foundation and practical skills in effective vendor qualification, performance management, and contract compliance. Designed for professionals across various industries, it will equip delegates with the tools and knowledge to build strong vendor relationships, mitigate risks, and ensure successful outcomes in the procurement processes.

With the fundamentals of vendor management, delegates learn how to create a robust vendor qualification process. They delve into techniques for vendor pre-screening, RFP development, audits, and financial assessments. It emphasizes the development of vendor scorecards for objective selection and a smooth onboarding process. Delegates will gain in-depth insights into how to measure and manage vendor performance. They will explore the creation of meaningful KPIs, SLAs, and structured performance reviews. It will also cover methods for driving continuous improvement, handling disputes, and managing vendor termination if required.

Most of the training program will focus on contract management. Delegates will learn about critical elements of solid vendor contracts, negotiation strategies, compliance monitoring, change management, and risk mitigation. It will conclude with an exploration of advanced topics such as Vendor Relationship Management 2.0, performance-based contracting, compliance in complex environments, and the impact of AI on Vendor Management and Vendor Risk Management.

Core Objectives

The delegates will achieve the following objectives:

• Understand the principles of vendor management and align them with organisational objectives
• Develop and implement a rigorous vendor qualification process
• Establish and track meaningful Key Performance Indicators (KPIs) for vendor performance
• Draft effective Service Level Agreements (SLAs) and manage performance expectations
• Navigate contract negotiation and develop firm vendor contracts
• Proactively manage compliance and contractual risks
• Apply best practices in vendor relationship management for collaboration and mutual success
• Explore emerging trends and technologies in vendor management for future-proofing the procurement strategies

Training Approach

This training course adopts a multifaceted approach designed for optimal learning and knowledge retention within a classroom setting. Rather than relying on costly simulations, the focus is on interactive discussions, real-world case analysis, and practical exercises. Delegates will engage in group activities to develop qualification questionnaires, draft mock SLAs, and analyse vendor performance scenarios. It will provide insights and best practices, facilitating knowledge transfer and encouraging collaborative problem-solving. Additionally, it will incorporate short lectures and targeted presentations to introduce key concepts and frameworks. This blended approach aims to create a dynamic and engaging learning environment where delegates can immediately apply newfound knowledge and build applicable skills for managing vendor relationships effectively.

The Attendees

This training course is designed for professionals directly or indirectly managing vendor relationships and procurement activities, including individuals responsible for leading the selection, evaluation, and negotiation processes with vendors. These professionals develop, negotiate, and oversee the implementation of contracts, as well as those responsible for building and maintaining strategic relationships with suppliers and individuals who work closely with vendors to ensure the timely and efficient delivery of goods or services.

Likewise, it will be valuable to the professionals but not limited to the following:

• Procurement Manager and Specialist
• Contract Manager and Administrator
• Vendor Relationship Manager
• Supply Chain Manager/Analyst
• Operations Manager
• Project Manager
• Risk and Compliance Officer
• Category Manager
• Sourcing Specialist

Daily Discussion

DAY ONE: FOUNDATIONS OF VENDOR MANAGEMENT 

• Overview
• Vendor Relationship Management
• Risk Assessment and Mitigation
• Ethical Considerations in Vendor Management
• Technology in Vendor Management
• Global Procurement and Sourcing
• Vendor Segmentation

DAY TWO: VENDOR QUALIFICATION 

• Developing a Qualification Process
• Vendor Pre-screening
• Request for Information (RFI) and Proposal (RFP)
• Vendor Audits and Site Visits
• Financial Assessment of Vendors
• Vendor Scorecards
• Vendor Approval and Onboarding

DAY THREE: VENDOR PERFORMANCE MANAGEMENT

• Key Performance Indicators (KPIs)
• Service Level Agreements (SLAs)
• Vendor Performance Reviews
• Continuous Improvement with Vendors
• Incentives and Penalties
• Handling Vendor Disputes
• Vendor Termination

DAY FOUR: CONTRACT MANAGEMENT

• Elements of a Strong Vendor Contract
• Contract Negotiation Strategies
• Intellectual Property (IP) Protection
• Compliance Monitoring
• Contract Change Management
• Contract Risk Management
• Contract Renewal and Closure

DAY FIVE: VENDOR RELATIONSHIP MANAGEMENT 2.0

• Vendor Relationship Management (VRM) 2.0
• Performance-Based Contracting
• Innovative Contract Management Techniques
• Compliance in Complex Environments
• Vendor Risk Management in the Digital Age
• The Impact of Artificial Intelligence on Vendor Management
• Preparing for the Future of Vendor Management