Supplier Selection and Management
Supplier selection and management is concerned with the selection and management of a third-party software supplier. Many large projects involve total or partial outsourcing of the software development, and it is therefore essential to select a supplier who is capable of delivering high-quality and reliable software on time and on budget.
The process for the selection of the supplier needs to be rigorous, and the capability of the supplier needs to be clearly understood, as well as identifying any associated risks with the supplier. The selection is based on objective criteria such as its ability to deliver the required solution, and while cost is an important criterion it is just one among several other important factors.
Once the selection is finalised a legal agreement is drawn up which usually includes the terms and condition of the contract as well as a statement of work. The supplier then commences the defined work, and is appropriately managed for the duration of the contract.