The Importance of Vendor Appraisal in Assuring the Quality of a Product

The Importance of Vendor Appraisal in Assuring the Quality of a Product
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The Importance of Vendor Appraisal in Assuring the Quality of a Product
Companies apply various strategies to ensure that they are well above others in quality of their products so that they have a competitive edge (Karsak and Dursun, 2014). One of such strategies is vendor appraisal. Vendor appraisal refers to the assessment of potential suppliers’ capacity of controlling quality, quantity, price, delivery, and many other factors exemplified in a contract (AlMaian, Needy, Walsh, and Alves, 2015). As such, this process provides a competitive advantage to such companies in terms of quality of their produce, the quantity they offer to their customers, product price, and efficiency due to timely production and delivery of products (AlMaian, Needy, Walsh, and Alves, 2015). This paper evaluates the importance of vendor appraisal in assuring the quality of a product.
Vendor appraisal is a very important aspect of supplier management and strategic sourcing (AlMaian, Needy, Walsh, and Alves, 2015). Strategic sourcing specifically refers to the location, appraisal, and selection of the suppliers who are capable of meeting the requirements of a given category of purchases adding onto the competitive advantage of the procurer, which is, in this case, the company (Karsak and Dursun, 2014). Through strategic sourcing, the company will be able to enter into the contract with the suppliers who bring into the company the best materials in the market to be used to obtain the finished product; this is the first step towards producing the best quality product.
A company that uses the best raw materials in the production of its end products will be assured of offering the best quality products to the market (Hu and Flynn, 2014). Through strategic sourcing, the company will be able to contract only hose suppliers who will be able to supply the best raw ma...