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There is often an interesting point about limits of the vendors. We do need to consider our options when one vendor cannot provide an entire requirement for the production department. We may need to purchase from two or more vendors. If we can derive an overall value for each vendor then we can identify which vendor would be next to request more raw material.
If we request raw material from a second vendor could their deliver lead time be a factor? We may need to evaluate our vendors under different scenarios. If we are pressed for raw material then perhaps a vendor who did not score high would be our best option.
This all ties into our vendor matrix and our process improvement. Thoughts?
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