Are your vendors adding value to your business?
Paying vendors is often one of the biggest expenses faced by small businesses — and one of the most essential. A vendor analysis can help you determine how well each relationship is working for you, and where it may be time to renegotiate.
Whether you're looking to focus on a vendor spend analysis, evaluate product quality or conduct a vendor relationship management assessment, this interactive tool can help you find clarity for your next steps.
Visit the Knowledge Center for more tips about negotiating with vendors.
Use the dropdown menu to rank how important product quality, price and timeliness of delivery are in your vendors. Then do the same to capture the importance of flexibility, customer service and accuracy in your vendor relationships. Your answers will influence each vendor’s final score.
Click the “Continue” button when you’re done.
Add your vendors to the chart. Fill in their name, the service or product you purchase from them, how much you spend with them per year and the length of your partnership.
Then, give each vendor a rating of 1 (lowest) through 5 (highest) to measure the quality of their products and services and the value of your relationship.
Click “Calculate vendor scores” when you’re done.
See how your vendors stack up. Vendor scores are rated to help you make decisions:
- <30 Consider switching to a different vendor who brings more value.
- 30–40 Keep the relationship but negotiate for better value or research alternatives.
- 40+ Keep the relationship and see how it can be improved.
Click “Print worksheet” to download and save your results.