Supplier certification is an essential component of establishing and maintaining the overall quality of your relocation policy. It is a vital element when your company is trying to track your supplier partners’ performance, develop reasonable contract provisions, and, most importantly, protect itself and your employees against any issues that may arise in the relocation process.
After certification, you need to manage your supply chain just as diligently as your operations department manages its supply chain for products and services.
We’ve laid out the most important aspects of supplier certification below. Following these important steps has enabled CapRelo to find quality suppliers we can trust, and should do the same for you.
1. Evaluate your needs internally & develop a comprehensive relocation policy
Before you even begin the hunt for your suppliers, your company’s leadership, in partnership with HR, needs to conduct an internal needs analysis. These are beneficial because they allow your leadership to look at your current relocation process from beginning to end to locate gaps.
At this stage, you should determine your current usage and spend during each part of the relocation process and find areas where you excel and places where you can streamline. Get a full sense of what your present and future operations will look like so you can proceed with the most knowledge.
Once you have addressed your internal needs, start developing a comprehensive sourcing strategy. While this is not a complete list of questions you need to consider, these basic questions can kickstart your strategic planning:
- How does your company want to handle relocations?
- What will your ideal relocation processes look like?
- Are you going to opt for a single provider or have multiple suppliers?
- How high or low is your ideal risk tolerance?
Answer these questions head-on and weigh every option that’s available to you. Then, use those answers to develop a strategy that will not only fit into your current operations but will also scale as you expand.
2. develop a selection and supplier certification process
Once your relocation policy is in place, turn your attention to the supplier companies that can provide relocation services. Whether your company has chosen to employ multiple suppliers or just one, you will need to create criteria you can use to vet and select them.
To do this effectively, review each of the key components of the relocation process, from selling a home to visa acquirement, and develop a set of baseline metrics necessary for successful employee relocation for each supplier. These metrics should cover measurable factors such as historical quality, performance, and financial stability of your suppliers.
One important aspect we never overlook is the competitiveness of different markets. It’s important to ask what position your potential supplier occupies in their respective market. Are they excelling, or just keeping their head above water? Will they remain competitive for only the short term, or do they have staying power? These are not always easy questions to answer, but we feel they help make the strongest, most informed decisions..
Once it’s time to start your selection process, compare the suppliers against your established baseline metrics to discover who could work within your policy. Your selection criteria should not be one-size-fits-all. Because they perform different tasks, develop a metrics system for each supplier that evaluates them fairly.
For instance, consider the difference between carriers transporting household goods vs. the services of real estate brokers who help transferees find new homes. They do entirely different things, so those differences should be reflected in your performance metrics.
RFQs and RFPs are prime opportunities to develop clear points of evaluation for both you and your suppliers. At CapRelo, we make them thorough and detailed so that both parties are clear about expectations at the outset. Here’s just a sample of what we include:
- Detailed expectations about the opportunity
- Product/service specifications
- Delivery/service expectations
- Evaluation criteria
- Pricing structure
- Financial terms
Ultimately, there is no must-have measurement tool list. In fact, there is no cast in stone supplier certification method at all. You can create your quality control, certification, and supply chain management benchmarks however you want. What matters most is that your measurement standards are fair, easy-to-understand, and scalable.
2. DEVELOP A SELECTION AND SUPPLIER CERTIFICATION PROCESS
It is imperative that you conduct frequent performance management assessments to measure and maintain high-quality supplier services, even after you have certified your suppliers. The easiest way to do that is to evaluate the consistency of multiple relocations for all components in your supply chain. Your suppliers should be giving you and your employee quality service. If they aren’t, they’re failing to fulfill their basic requirements as a certified relocation partner.
To make sure they are hitting the brief, create or employ metrics that allow you to measure your suppliers’ performance and display your findings in easy-to-understand results. Additionally, establish an internal audit checklist to measure supplier performance. There, again, isn’t a set list of standards that you can access. You have to look at your unique policy and create assessments for each supplier. The only requirements are that your standards must be measurable, and they must make sense for your company’s agreement with its partners.
CapRelo Can Help Relocate Your Employees
Relocating an employee is, at best, complicated. If you opt to create and execute your travel policy, you’ll have to become an expert in every field of relocation, which can be challenging.
You do have another option – rely on a professional relocation company to handle logistics. Professional relocation companies perform the essential steps, like supplier certification and supply chain management procedures, for you. Going this route saves HR time and employer money.
At CapRelo, we follow a strict set of procedures that ensures that we use the best suppliers at every stage of the relocation process. Through every step of the process, from supplier certification to KPI evaluation, we place the utmost importance on finding the right suppliers and ensuring relocation is as smooth as possible.
Whether you choose to make this a DIY project or opt to put your trust in a relocation firm, you should have a smooth, stress-free, successful relocation program. With CapRelo, you’re guaranteed one.