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Calculate the supplier performance index of eastside

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Reference no: EM133172419

Question - Sunrise Furnishing Ltd needs to purchase glass panes to make dining tables. Last year Sunrise Furnishing has two suppliers, Eastside and Vitora, with the following supplier related information:

Supplier related activities

Cost per unit of
activity driver

Number of activities 
for Eastside

Number of activities
for Vitora

Returning poor quality glass panes

$120 per pane

25 panes

12 panes

Processing purchase orders

$20 per order

14 orders

40 orders

Receiving and inspecting deliveries

$50 per delivery

19 deliveries

15 deliveries

Supplier audit

$1000 per audit

5 audits

2 audits

Rework due to poor quality glass

$100 per table

60 tables

15 tables

Purchase price per glass pane

$100

$150

Number of glass panes purchased

410

780

Required - Calculate the supplier performance index of Eastside.

Reference no: EM133172419

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