Implement a Proactive and Consistent Vendor Selection Process

Vendor selection is politically charged, requiring Procurement to navigate around stakeholder biases and existing relationships.
The process is time consuming and often started too late. In the absence of clarity around requirements, it is easy to default to looking at price instead of best fit.

Our Advice

Critical Insight

Rooting out bias is essential. Establishing a robust, ruthless, but reasonable process is vital to making unbiased vendor selections.
Price comes last, requirements come first. Spend time up front to make sure that your key requirements are complete before proceeding with vendor selection.
Differentiate business needs from wants. Comparing proposals against each other leads to confusion. Features matter – just not all of them. Matching solution capability to organizational needs matters more. Know your true minimum mandatory requirements vs. nice-to-have features, and compare proposals against your RFP instead of against each other.
Price is not cost. Calculate TCO when considering internal and external cost.

Impact and Result

Design a procurement process that is robust, ruthless, and reasonable.

Take control of vendor communications: set and enforce clear guidelines around contact.

Gather a solid set of requirements and make sure they remain the primary focus.

Implement a Proactive and Consistent Vendor Selection Process Research & Tools

Start here – read the Executive Brief

Read our concise Executive Brief to find out why you should optimize your vendor selection process, review Info-Tech’s methodology, and understand the four ways we can support you in completing this project.

Implement a Proactive and Consistent Vendor Selection Process – Executive Brief

1. Establish and formalize process

Map your current vendor selection process, identify gaps, and then amend and document the process.

2. Gather requirements and write RFx

Begin a specific vendor selection by writing a project plan, then gathering and prioritizing requirements. Next, select, write, and publish your RFx.

3. Evaluate and select vendor

Select your evaluation method and framework, then perform due diligence and evaluate pricing. To finish, select and recommend a vendor.

About Info-Tech

Info-Tech Research Group is the world’s fastest-growing information technology research and advisory company, proudly serving over 30,000 IT professionals.

We produce unbiased and highly relevant research to help CIOs and IT leaders make strategic, timely, and well-informed decisions. We partner closely with IT teams to provide everything they need, from actionable tools to analyst guidance, ensuring they deliver measurable results for their organizations.

What Is a Blueprint?

A blueprint is designed to be a roadmap, containing a methodology and the tools and templates you need to solve your IT problems.

Each blueprint can be accompanied by a Guided Implementation that provides you access to our world-class analysts to help you get through the project.

Need Extra Help?
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Get the help you need in this 3-phase advisory process. You'll receive 9 touchpoints with our researchers, all included in your membership.

Guided Implementation 1: Establish and formalize process

Call 1: Map current process
Call 2: Identify gaps in current process
Call 3: Amend and document process

Guided Implementation 2: Gather requirements and write RFx

Call 1: Write a project plan
Call 2: Discuss and prioritize gathered requirements
Call 3: Review your RFx before publication

Guided Implementation 3: Evaluate and select vendor

Call 1: Select evaluation method and framework
Call 2: Review due diligence activities
Call 3: Review and validate vendor selection

Author

Laura Trabucco

Contributors

Deepak Bansal, Director Vendor Performance Relationship Management, Willis Towers Watson
Donald H. Hopkins, Adjunct Assistant Professor, Wright State University in the College of Business
Daniel J. Enneking, Founder, Strategic Procurement Partners
2 anonymous contributors