Modern methods for selecting a supplier as a necessary component of effective enterprise management

Abstract

Methods. The results were obtained through the use of the following methods: general scientific and specific methods of system-structural analysis to clarify the stages of procurement management using a functional approach; grouping different supply conditions and setting scores depending on a specific condition; diagnostic methods (Altman's five-factor model) for assessing the level of financial stability of suppliers; integral assessment for comparison of suppliers. Results. The interest of scientists to the introduction of effective methods for managing both the enterprise and its inventory has been revealed. It has been shown that the majority of Ukrainian scientists focus their attention on the supply and on distinguishing factors of external and internal influence as well as classification of procurement methods. Foreign researchers recommend controlling raw materials and materials using ABC-analysis, VED-analysis & EOQ and optimizing supply chain management. It has been found that the composite model of supplier selection, which is recommended for using, involves a point-based assessment of the weighted average price of suppliers of raw materials and resources; assessment of their quality; supply quality; the level of the supply organization (taking into account the conditions of the supply organization); assessment of the suppliers’ loyalty; determining the financial stability of suppliers and carrying out a comprehensive integral assessment. Novelty. A comprehensive integral assessment of suppliers includes the price factor, quality, supply organization, loyalty and financial status, which makes it possible to compare suppliers and choose those that will ensure the most effective management of the enterprise. Practical value. The proposed methodology is based on the use of an available mathematical apparatus, operates with open and publicly available data, the results obtained are visual and easy to use.