German SMEs are facing the challenge of strategically managing their supply chains in an increasingly complex and dynamic market environment. The past few years - characterized by pandemic-related bottlenecks, geopolitical tensions and the Supply Chain Act - have highlighted the need to establish innovative and data-based approaches to supplier management.

Strategic supplier management means much more than just selecting the most cost-effective supplier. Rather, the focus is on a sustainable partnership that ensures flexibility, high quality and adaptability. This is crucial in order to minimize risks, increase efficiency and maintain competitiveness in the long term. The key to successful implementation lies in the use of modern digital tools that automate operational processes and enable data-based decisions.

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What is strategic supplier management?

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Strategic supplier management is a structured process that covers the entire life cycle of the supplier relationship - from selection and evaluation through to continuous optimization. The aim is to create transparency and evaluate suppliers on the basis of key performance indicators and risk analyses. Flexible supplier relationships are of central importance, particularly in the industrial SME sector, in order to be able to react quickly in times of crisis and guarantee security of supply.

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Important criteria for the selection and evaluation of suppliers

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When selecting and evaluating suppliers, buyers in the SME sector should pay particular attention to the following aspects:

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• Quality assurance and certificates: Compliance with standards such as ISO, RoHS and other relevant certifications is a basic requirement. Digital tools make it possible to manage certificates and automatically remind users of their validity.

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• Cost structure and transparency: Modern software solutions offer the option of sending automated price inquiries and creating cost models that analyze price components such as raw material prices and energy costs.

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• Risk management and compliance: In light of the Supply Chain Act, it is important to identify potential risks and take preventative measures. Here, digital tools offer support in querying and tracking supplier self-disclosures and monitoring ESG criteria.

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• Partnership-based cooperation: Supplier evaluation should not only be based on price and punctuality, but should also take into account the willingness to innovate and sustainability.

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The role of digitalization in supplier management

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The use of specialized software solutions such as Tacto helps medium-sized companies to automate their processes and create a data-based foundation for strategic decisions. The advantages are manifold:

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• Automated data capture and maintenance: Digital tools allow buyers to automatically retrieve and manage certificates and other supplier documents. This significantly reduces manual effort and ensures that all documents are always up to date.

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• Cost models and price forecasts: Precise cost modeling enables buyers to scrutinize price increases and conduct renegotiations based on current raw material and energy costs.

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• Strategic action planning: Tools such as Tacto offer the option of creating action plans for suppliers and managing them on a central platform. This facilitates collaboration and improves the traceability of projects and objectives.

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Best practices for successful implementation

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1. Data-centric approach: Companies should structure their purchasing data and consolidate it in a central system to create a solid basis for strategic decision-making.
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2. Modular use of software solutions: The use of modular systems makes it possible to start with basic functions and successively add further modules such as cost modeling and risk analyses.
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3. Employee training and change management: To ensure acceptance within the team, regular training and transparent communication about the added value of the digital transformation are important.

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Conclusion

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Strategic supplier management is not an option for German SMEs, but a necessity in order to survive in a global and uncertain market environment. By using digital solutions, processes can be optimized, costs reduced and risks minimized. This not only creates scope for value-adding activities in Procurement, but also strengthens the resilience of the entire company.
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With solutions such as Tacto, mid-sized companies can manage their supplier base efficiently and future-proof it. Whether for the implementation of the Supply Chain Act, the creation of data-based supplier evaluations or the optimization of inquiries - digitalization offers a wide range of opportunities to transform Procurement sustainably.

In our webinar: "Strategic supplier management and data-based evaluation: success factors at Hesse", we talk to Tobias Gaub, Procurement Director at Hesse Lignal, about the evaluation and strategic development of suppliers as a driver for sustainable business success.