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Procurement Glossary

Pilot project with suppliers: strategic test phase for sustainable partnerships

November 19, 2025

A pilot project with suppliers enables companies to test new technologies, processes or products in a controlled environment before entering into a long-term partnership. This strategic approach reduces risks and creates trust between the business partners. Find out below what constitutes a pilot project with suppliers, which methods are used and how to design successful test phases.

Key Facts

  • Pilot projects reduce the risk of new supplier relationships by up to 60%
  • Average project duration is 3-6 months with defined milestones
  • Successful pilot projects lead to long-term partnerships in 75% of cases
  • Costs for pilot projects usually amount to 5-15% of the planned total investment
  • Clear KPIs and success criteria are crucial for meaningful results

Contents

Definition: Pilot project with suppliers

A pilot project with suppliers is a time-limited test phase in which companies evaluate new suppliers, technologies or processes under real conditions.

Core elements of a pilot project

The key components include defined objectives, measurable success criteria and a structured evaluation process. Pilot projects differ from regular procurement processes due to their experimental nature and limited scope.

  • Clearly defined test objectives and success criteria
  • Limited duration and project scope
  • Structured assessment procedures
  • Documented learning processes

Pilot project vs. full implementation

In contrast to direct full implementation, pilot projects enable a step-by-step approach. They offer the opportunity to make adjustments and minimize risks before major investments are made.

Importance in modern Procurement

Pilot projects are a central instrument of innovation management in Procurement and make it possible to systematically evaluate new suppliers. They create trust and reduce uncertainty when making strategic decisions.

Methods and procedures

The successful implementation of pilot projects requires structured methods and clear processes that range from planning to evaluation.

Project planning and setup

Careful preparation is crucial for success. This includes the definition of objectives, success criteria and project boundaries. Suitable suppliers are often selected through supplier innovation challenges.

  • Stakeholder analysis and project team formation
  • Risk assessment and contingency planning
  • Resource allocation and budget planning

Implementation and monitoring

Continuous monitoring is essential during the pilot phase. Regular reviews and adjustments ensure that the project stays on track. Proof-of-concept procedures support technical validation.

Evaluation and decision-making

The systematic evaluation of the pilot phase forms the basis for strategic decisions. Quantitative and qualitative factors are taken into account in order to enable a well-founded evaluation.

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Important KPIs for pilot projects with suppliers

Measuring the success of pilot projects requires specific key figures that reflect various aspects of collaboration.

Key performance indicators

Quantitative metrics such as delivery times, quality rates and cost savings form the basis of the evaluation. These KPIs enable objective comparisons and well-founded decisions on the continuation of the partnership.

  • On-time delivery rate (OTDR)
  • Quality index and complaint rate
  • Cost savings compared to baseline

Innovation indicators

In innovation-oriented pilot projects, the focus is on metrics such as time-to-market, number of implemented improvement suggestions and degree of innovation. Supplier innovation is made measurable through special KPIs.

Relationship quality and cooperation

Soft factors such as communication quality, response times and cultural fit are quantified using structured evaluation procedures. These key figures are crucial for long-term partnerships.

Risks, dependencies and countermeasures

Pilot projects involve specific risks that can be minimized by taking appropriate measures.

Project-specific risks

Unclear target definitions and a lack of stakeholder involvement can lead to failure. Resource shortages and delays jeopardize the success of the project. Careful planning and regular communication are essential.

  • Scope creep and target shifts
  • Insufficient resource planning
  • Communication deficits between partners

Supplier dependencies

Dependence on individual suppliers can become critical if they do not perform as expected. Strategic partnerships require special attention in risk assessment.

Technical and operational challenges

Integration problems and compatibility issues can affect the pilot phase. Unforeseen technical difficulties require flexible solutions and alternative scenarios.

Pilot project with suppliers: Definition, methods and KPIs

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Practical example

A car manufacturer carried out a six-month pilot project with a new supplier of battery technology. The aim was to evaluate an innovative lithium-ion battery for electric vehicles. The project included the delivery of 100 test batteries, comprehensive quality testing and integration into prototype vehicles. Following a successful pilot phase, a long-term supply agreement for 50,000 batteries per year was concluded.

  • Defined test criteria: Capacity, charging time, service life
  • Weekly review meetings with all stakeholders
  • Documentation of all test results and learnings

Current developments and effects

Digitalization and new technologies are changing the way in which pilot projects with suppliers are designed and implemented.

Digital pilot project platforms

Modern companies are increasingly using digital platforms for the management and monitoring of pilot projects. These enable real-time data analysis and improved collaboration between partners.

  • Cloud-based collaboration tools
  • Automated data acquisition and analysis
  • Integrated evaluation systems

AI-supported supplier evaluation

Artificial intelligence is revolutionizing the evaluation of pilot projects through predictive analytics and automated risk analyses. Co-creation approaches are supported and optimized by AI tools.

Focus on sustainability in pilot projects

Environmental and social criteria are becoming increasingly important in pilot projects. Companies are increasingly testing sustainable solutions and evaluating suppliers according to ESG criteria, which requires new evaluation metrics.

Conclusion

Pilot projects with suppliers are an indispensable tool for strategic procurement decisions. They reduce risks, create trust and enable well-founded assessments of new partnerships. A systematic approach with clear KPIs and structured evaluation processes is crucial for success. In an increasingly digitalized procurement landscape, pilot projects are supported by new technologies and continue to gain strategic importance.

FAQ

What is the difference between a pilot project and a test order?

A pilot project is more comprehensive than a simple test order and includes structured evaluation processes, defined KPIs and often also an assessment of the collaboration. Test orders focus primarily on product quality and delivery capability.

How long should a pilot project last?

The optimum duration is usually 3-6 months, depending on complexity and industry. Projects that are too short do not deliver meaningful results, while pilot phases that are too long tie up resources and delay decisions.

What are the costs of pilot projects?

Pilot projects typically cost 5-15% of the planned total investment. This investment is amortized through risk reduction and a better basis for decision-making. Additional costs arise from project management and evaluation work.

How is the success of a pilot project measured?

Success is measured using predefined KPIs that include technical, economic and qualitative aspects. A 360-degree assessment also takes into account factors such as communication, flexibility and innovation potential of the supplier.

Pilot project with suppliers: Definition, methods and KPIs

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