Dear Anindya, Thanks for this article. I want to share something that came to me. I recently went through a program 'Become' conducted by Kaospilot, Denmark. they asked us to do An exercise of finding 'ideal collaborator characteristics'. This was a very interesting exercise where I looked at colleagues I have worked with as well as my clients and other collaborators. Very interestingly this led to looking at things that are tacit and not explicit. My list was: 1. Attitude of giving more than taking 2. Connectedness to a larger cause 3. Mutual respect and trust 4. Having deeper personal connect than just being a collaborator in a task 5. Wisdom and continuous quest for learning This list made sense to me because this is what I stand for. Hence I believe that alignment in terms of deeper principles and values are far more important in choosing any collaborator - be it a vendor or even customer!

dear anindya its always good to see your blog and like a lot... you always emphasis for the choice of right vendor, quality, innovation, compliance and prefer to choose the right vendor source.. but do you think that buyer is also coming back with proper support of regular flow of order, timely payment, fair price compare to market condition? i will say 'NO' because you already have lot of pressure to retain in market with your brand and look for brand growth or your employee's growth but never though how the Vendor is surviving ?? we also have the yearly wage increment pressure, increasing price of raw material, transportation etc , and additional to this you want to retain the same price.. Payment never come in time?? how do you want to grow without giving support to Vendor??

Very well explained and to the point... For me being an existing vendor this article is sort of a guideline as to what is expected from a vendor and how do I need to move forward in order to stay in the race....Thanks dada for enlightening me ....

A financially stable Vendor who has built the organisation with the importance of core elements People, Policies, Process & Product, with a Good Management. With the support of brands in providing business will definitely yield growth for the vendor & brands. Sir, It is a very good article, well explained on the Vendor Selection Criteria. Great learning ???

From someone who has worked with international and local brands both, there is a fundamental level of mentality that needs to be addressed when it comes to Indian brands. There is a sense of entitlement among sourcing executives where suppliers are just looked down upon. In case of international brands, suppliers are made to feel like partners. Most good manufacturers in India are wary of working with local brands exactly for this reason. Something for you to ponder about as well.

Very well put Anindya. Agree with all the above points. To add few to them, the dependency of the vendor on the customer is also very important. What % of vendor's business is dependent on us. If the dependency is very low, then the mind share that vendor would give to a customer will not be high. As there is no mind share even the preference and priority will also reduce. I think this also one of the major parameter for vendor selection.

In my experience there have been instances where all of the above criteria’s met of a vendor, but there was no willingness from one of the parties to collaborate; Reason was simply the uncertainty that could come with a new vendor. Most of us are always seeking to make partners with parties who we can trust upfront. What has been their history? What kind of service do they provide other customers? Are their payment cycles regular ? Do they have a good team who can cater to our requirements ? Do we have a strong referral point ? Will they stay loyal to all the commitments? So on & so forth. Hence the attitude of the owner plays a vital role. If the attitude is right there will be willingness to bend backwards too !!

To get a right vendor onboard is like half the battle won. In my experience there have been instances where all of the above criteria’s met of a vendor, but there was no willingness from one of the parties to collaborate; Reason was simply the uncertainty that could come with a new vendor. Most of us are always seeking to make partners with parties who we can trust upfront. What has been their history? What kind of service do they provide other customers? Are their payment cycles regular ? Do they have a good team who can cater to our requirements ? Do we have a strong referral point ? Will they stay loyal to all the commitments? So on & so forth. Hence the attitude of the owner plays a vital role. If the attitude is right there will be willingness to bend backwards too !!

Well defined and easy to grasp criterion Sourcing and vendor selection is equally a common sense approach It is a relationship where vendor & brand OR retailer over the period supplement each other and become partners in progress A person with right attitude is the biggest and most imp deciding factor and I suppose such entity can always be cultivated to be a reliable & long term vendor - gradually other supporting pillars can always be created with intelligent nurturing and regular support Indian value system largely gives importance to an element of trust or BHAROSA & PURANA SAMBANDH which plays a big role in uninterrupted supply chain and it’s mutual India consumption story is real one and with very few factories with scale and understanding of the business brands need to create sustainable supply base to stay relevant and profitable

Sourcing is a game of intelligence. It can break or make a retailer. And it is paramount for sourcing to develop a right vendor. Attitude of the vendor is most important. Half battle is won if attitude of the vendor is positive. Secondly it is vital for sourcing to exploit to strengths of the region and use them to maximum advantage. Sourcing should also learn not to put all eggs in one basket (region).