Vendor On-boarding—Start Strong
Getting it right from the start will pay big dividends!
The function of on-boarding vendors is as diversified in the process and execution as any business process you will find. Every organization takes a somewhat different approach to on-boarding new vendors and building a list of qualified, potential vendors. Some of the differences are driven by industry issues such as regulatory requirements and licensing while other processes differ mainly due to “cultural” considerations.
What is standard across companies and industries however is the importance of getting it right. Getting it right means making sure than you have all the information to not only setup a vendor to do business with your company, but insuring the information is accurate and in compliance, and facilitates doing business with that vendor throughout the procure-to-pay process.
This means that many different constituents have to be involved in a collaborative process. Procurement, Accounts Payable, Legal, Diversity, Logistics/Supply Chain, Operations, IT, Security and others depending on your company and industry.
The challenge is performing all the tasks, collecting all the information (documents & data), obtaining all the review and approvals, and doing the actual leg work to insure you can do business with and pay your new vendor. There are an emerging set of vendor portal based technologies that address these complex issues in a vendor self-service, highly collaborative way. The key to these solutions, however, is flexibility.
The solution, like ICG’s Vendor On-boarding & Maintenance solution, must be highly functional with the ability to adapt to the requirements of your company, industry and regulatory bodies. The key is starting strong by getting the right information to the right people at the front end of the process. Contact ICG today at email@example.com for more information about our vendor management services.