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Analyzing Supplier Selection with Lean Philosophy: A Case Study

Analyzing Supplier Selection with Lean Philosophy: A Case Study

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Today, the relationship with suppliers in B2B markets is more important with the increase in competition between firms. Companies establish closer and more collaborative relationships with their suppliers. Therefore, relationships are long-term and based on mutual-trust. This relationship style change has also influenced the supplier selection process. Nowadays, the value of a supplier is critical and selection of a supplier must be in detail. There are various methods and step combinations for supplier selection process.Supplier selection process includes supplier selection criteria. Client companies determine criteria for supplier selection. This means, companies do not always prefer the one which offers the cheapest product. But they consider various features of product and supplier for procurement process. Supplier selection criteria have been changed over years. Today, lean principles are also considered while selecting suppliers. Automotive industry is one of the largest industries in the world and it also has the one of the most complex supply chains.