Report: Supplier evaluation

Executive summary

The supplier evaluation report offers an overview of all suppliers and their basic logistical data and, in the supplier detail, summary information about the selected supplier.

The supplier’s detail shows the goods that the supplier delivers, in what quantity and value, the division of the supplier’s items according to ABC segmentation, the turnover of the items and the planned purchases for the next year. Furthermore, the fulfillment of the contractual lead-time is evaluated and how large the safety stock we hold to cover fluctuations in the supplier’s LT.

Functional description

In the Supplier Evaluation report, you can see an overview of all suppliers with basic logistical data and a detail of individual suppliers.

Dependence on the selected path (tree hierarchy)

The displayed report items do not correspond to (do not depend on) the selected tree structure on the left or in the path at the top.

Suppliers overview

The table with the overview of suppliers contains columns:

  • Supplier
  • LT [days]
    • Average lead-time in days.
  • LT deviation [days]
    • Average delivery time variance.
  • Period [days]
    • Supplier ordering period.
  • Purchase [CZK]
    • Value of purchased goods.
  • Sales (MU, CZK)
    • Quantity of goods sold in the last year.
  • Sales (MU, CZK)
    • Value of goods sold in the last year.
  • Forecast (MU, CZK)
    • Predicted sales volume for the next 12 months.
  • Purchasing trend [%]
    • Year-on-year increase in purchases over the last 12 months.
  • Preferred
    • The number of preferred supplier items.
  • Not preferred
    • Number of non-preferred supplier items.
  • Delayed [%]
    • Percentage of delayed deliveries regarding the supplier’s average delivery time.
  • Safety stock [CZK]
    • Insurance stock in value for preferred items.
  • Safety stock [MU]
    • Safety stock in quantity for preferred items.
  • Suggested purchases [CZK]
    • Value of proposed purchases for the next 12 months.
  • Value of pref. on hand [CZK]
    • The value of the stock on hand of products for which the supplier is preferred.
  • On hand A [%]
    • Percentage of stock on hand of A products for which the supplier is preferred.
  • On hand B [%]
  • On hand C [%]
  • On hand D [%]

Table preview:

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Supplier detail

You can select a specific supplier in the filter at the top left and confirm with the Show supplier button to get to the details of the selected supplier.

The report can be filtered by date from-to and the currency display (base currency or supplier currency) can be adjusted.

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The report works with the abbreviation WACC (Weighted Average Cost of Capital). It expresses the “weighted average price of invested capital”, or in the context of STOCK, the cost of keeping stock.

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  • Number of delivered items
    • Preferred
      • The supplier is set as preferred on the basis of WACC (Average Weighted Price of Invested Capital).
      • If we click on the blue underlined number, we will display a table with a list of all products that belong to this group.
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    • Not preferred
      • The supplier was not selected as preferred on the basis of WACC.
  • Delivered goods
    • In quantity / In value (year)
      • Quantity of goods / value of goods (in the purchase price) delivered in the past year.
    • In quantity / In value (total)
      • Goods delivered so far / value of goods (in the purchase price) from the beginning of cooperation with the supplier.
  • Delivered goods since the beginning of the year
    • In quantity / In value
      • Quantity / value of goods delivered since the beginning of the year.
  • Price
    • Average purchase price
    • Average WACC price
    • Percentage difference min./max.
      • Percentage difference between the purchase and WACC price of the item - where the difference is minimum / where the difference is maximum.
      • After clicking on the entry, all delivered items with the specified purchase price and WACC price will be displayed. The difference between the WACC and the purchase price as a percentage is also given. (WACC price is the price burdened by the average price of invested capital)
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  • LT fullfillment (contractual) / (average) - informs about the reliability of the supplier in the field of lead-time
    • Total number of deliveries
      • Number of deliveries made by the supplier.
    • Delayed [%]
      • Percentage of deliveries where the LT was greater than the contractual / average LT value of the monitored item.
    • Total number of deliveries of A
      • Number of deliveries of A products.
    • “A” delayed [%]
      • Delayed deliveries of category A items (ABC analysis) compared to contractual / average real LT.
  • Safety stock - how much of the stock we hold as safety stock, which is used to cover fluctuations in the supplier’s LT
    • In value
      • The total value (in the purchase price) of the safety stock due to the supplier’s delay for all items of the supplier. (for the entire supplier’s portfolio)
    • Average value per item
      • The average value of the safety stock due to the delay of the supplier per item (in the purchase price).
    • In quantity
      • Total safety stock due to supplier delay in quantity for all supplier items.
    • Average quantity per item
      • Average safety stock due to supplier delay in quantity per item.

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The chart of distribution of the frequency of items in the intervals of the average LT shows how many times the delivery was delivered with the given LT. The graph gives you an idea of the variability of the LT supplier and the most common values.

The red line indicates the average real lead-time over all delivered items.

The following color table informs us about the division of the supplier’s portfolio according to our ABC analysis.

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  • Items in ABC analysis
    • The table shows the number of suppliers’s items that fall into each ABC analysis group.
  • Items in ABC analysis where preferred
    • These are items in the ABC analysis, where the supplier is also selected as preferred.
  • Share of our stocks
    • Indicates the share of the supplier’s items in stock according to the ABC analysis.
  • Share our stock where it is preferred
    • Indicates the total share of supplier’s items in stock, where the supplier is also selected as preferred.

Another segmentation of the supplier’s portfolio is the Structure by Turnover. Indicates in how many months in the last year the item turned.

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  • Structure of items according to turnover
    • Segmentation od items into groups by turnover.
  • Structure of items according to turnover, where it is preferred
    • Segmentation of items into groups by turnover, where the supplier is selected as preferred.

The charts of planned consumption for the next year show which deliveries the STOCK system will order.

The charts show deliveries to the date of their order and to the date of delivery so that it is possible to assess the expected load of the orders and predict future requirements for the warehouse.

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The last table shows into which warehouses the selected supplier delivers.

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The report can be exported to Excel. When exporting, you need to enable automatic update and wait a few seconds for the data to be loaded into Excel. The Excel report contains all data, including charts.