What Is a Supplier Scorecard?

A supplier scorecard tracks agreed performance measures for a supplier over a defined period.

A supplier scorecard tracks agreed performance measures for a supplier over a defined period. Common measures include quality, delivery, service, cost and corrective-action performance.

The operating decision

Use data the supplier can understand and challenge. Define each measure, source, period and treatment of disputed or exceptional events.

Evidence to retain

Store the underlying transactions, calculation, target, result, commentary, action owner and review outcome.

Supplier Scorecard: what the sourcing record should show
AreaWhat to record
DecisionUse data the supplier can understand and challenge. Define each measure, source, period and treatment of disputed or exceptional events.
EvidenceStore the underlying transactions, calculation, target, result, commentary, action owner and review outcome.
Watch pointA scorecard should prompt decisions. Collecting metrics without consequences or improvement work adds reporting effort without control.

A common sourcing mistake

A scorecard should prompt decisions. Collecting metrics without consequences or improvement work adds reporting effort without control.

Related definitions: strategic sourcing, supplier prequalification, landed cost.