Assessment of supplier appraisal and rating in procurement entities in Ghana

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Previously commonly used supplier appraisal criteria have solely focused on quality, service or delivery and price. Literature have in recent years suggested that some instruments or criteria for appraising suppliers were just about measuring quality and other quantitative measures such as price and service at the very most (Doney and Cannon 1997; Wilson 1994). As a matter of fact many existing appraisal measures fail to consider other important factors in appraising suppliers which are mostly qualitative in nature. The purpose of the research is to identify how buying organizations appraise suppliers and to identify the key supplier competencies (criteria) currently appraised on. The study also pinpoints those variables that have been identified by research as crucial elements of a buyer-supplier relationship but have been frequently omitted in the supplier appraisal processes. Findings however reveal that only few of responding firms have a formal supplier appraisal process in place and that other factors were not predominantly considered in the supplier appraisal process.The study also makes use of both qualitative and quantitative approaches for methodology where interviews and questionnaire will be used as data collection instruments. It also sought to identify challenges and weaknesses in the appraisal processes as well as its strengths with the view of suggesting recommendations that could be used to reinforce the processes. Recommendations included proper reviewing of weighting criteria, supplier rewards, short courses or training, debriefing, Reinforcement of Institutional structures and frequency of assessment.
A thesis submitted to the Department of Building Technology in partial fulfilment of the requirement for the degree of Master of Science (MSc) in Procurement Management, 2014