Is Vendor Management part of Procurement in your organization?
Yes, it's integrated together59%
No, VMO is separated38%
Other (comment below)2%
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VMO should sit in Technology and work closely with finance, procurement etc etc. VMO should be strategic and procurement is transactional and the outcome of VMO work.
Thank you! I agree with this approach as well. Procurement can also support the strategic part of sourcing.
Yes
Not yet but it is high on the priority list. Today the vendors are managed by those who pay for them and work with them which impacts objectivity or in case of conflicts there is no one to turn to so we are expecting procurement to support this.
Thanks for your response Ingrid. Having a vendor management framework should be the key to ensure we are proactive in our vendor relationships and we don't just go to fire fight when issues arise.
Vendor Management and Procurement are not part of the same department. Our operational vendor management (OVM) team closely manages, supports, and advises the Technology department in resourcing, services, software, and licensing. OVM also facilitates the contract process between the Technology department and Legal, Finance, and Strategic Sourcing. We adopt different frameworks in the contract lifecycle. For example, Vendor Management uses COBIT and ITIL guidelines and principles, while Procurement uses the CIPS framework.