Supplier evaluationfor achieving long-term performance - Essay Exampleoutside the business then it follows that the biggest opportunities for improvement in their cost position will also be found in that wider supply chain (Christopher, 2005). Having the right suppliers ultimately makes a significant difference to an organization’s future in reducing operational costs and improving the quality of its end products, whereas having the wrong suppliers can cause operational and financial problems (Zeydan, Colpan and Cobanoglu, 2011).This has led firms to focus on improving their supply chain by continuously evaluating the performances of their suppliers. To achieve this, firms are increasingly building collaborative relationships with partners in their supply chain in order to achieve efficiencies, flexibility, and a competitive advantage (Whipple, Lynch, and Nyaga 2009). Such a relationship which involves collaborative activities, such as information sharing, joint relationship effort, and dedicated investments leads to trust and commitment.
