Improving the supplier evaluation technique in the company's procurement logistics

Abstract

The article explores the issues of supplier evaluation and selection in the organization's procurement management, which is particularly important in the context of the dynamics of logistics networks under the influence of modern market trends. The selection of suitable suppliers affects the performance of the logistics system and, consequently, the results of the company's activities. As a result of the study the algorithm and the technique were developed which enable to increase the objectivity and comprehensiveness of supplier evaluation through the use of several methods and selection of key criteria that correspond to the goals, objectives, and needs of the organization. The results of testing the technique are presented on the example of the company engaged in the production of warehouse equipment. To ensure the required level of flexibility, achieve goals and improve company's performance, it is recommended to evaluate suppliers using the proposed technique cyclically, considering changing factors of the external and internal environment.