What is Supplier Relationship Management?
Supplier Relationship Management (SRM) refers to the proactive management of a continuing business relationship in order to ensure an organization’s competitive advantage. Once a team has hired a supplier, there is a constant need to maintain balance and control in the relationship to ensure the benefits of the agreement are delivered.
SRM is key in creating strong relationships with suppliers from a customer perspective, which can result in cross category supplier measurement, reactive and proactive exercises for risk mitigation, and knowledge and innovation can be shared.
SAP Supplier Relationship Management (SAP SRM)
As part of the SAP Business Suite series of business applications, the SAP SRM application automates, simplifies, and accelerates procure-to-pay processes for goods and services. SAP SRM allows you to:
- Reduce procurement costs
- Build collaborative supplier relationships
- Better manage supply bases
- Improve your bottom line with innovative offerings and a faster time to market