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How You And Your Suppliers Can Benefit From On-Boarding


When it comes to the supply chain, supplier on-boarding is a crucial process that will ensure that everything will run smoothly and according to plan. While it is a key process, it is also one which can be a huge challenge, and it will require work and effort from both parties in order for it to be a success. So, what is supplier on-boarding exactly? This refers to the process of integrating a supplier into the processes and systems that you use so that they can easily interface with your company. This is something that both you and the supplier can benefit from for a few different reasons.


One of the most important advantages of supplier on-boarding is compliance. When you have a system for interaction with a supplier, it ensures that they will comply not only with your own internal policies but also with any external regulations that are in place. This means that you are both on the same page and operating legally.

Reduce Risk & Error

On-boarding can also greatly reduce risk and error because there will be a clear method of working established, so the supplier does not have to guess or use a method which is unfamiliar with your approach. Reduced risk and error are beneficial for both parties and should help to develop a strong relationship.

Streamline The Process

Supplier on-boarding helps you to streamline your supply chain which ultimately, brings benefits to both parties. The entire process can be controlled via SAP supplier portals, from registration through to acceptance. Providing full visibility of the on-boarding process makes it easier for your suppliers to collaborate with you. They are able to upload the necessary documentation via the portal and receive reminders to ensure that all stages are correctly completed. This in turn, provides you with more accurate data and increased efficiency.

Reduced Workload

Data collection and data entry from the information provided by the supplier is time-consuming and tedious when you are not using the same system. Supplier on-boarding allows the supplier to submit data electronically which can greatly reduce workload while also reducing the likelihood of human error which is always a problem with this type of work. This also reduces the middleman where data no longer has to be passed back and forth between businesses.

Improve Relationships

By making it easier for the supplier to work with you, it should help a positive working relationship to be formed which is beneficial for all. Business success is dependent on strong relationships, and it is important that you have a supplier that you can rely on while they will want a customer that is easy to work with and pays their bills on time.

Supplier on-boarding is an important process to go through but one which is beneficial for both parties. Integrating a business and collecting data to set up a supplier as an approved vendor can be a challenging process for both companies but ultimately it ensures that you are able to efficiently conduct business, purchase goods and make payments. This should allow for a positive relationship to be forged which can be the basis for success.

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