Basic principals of Vendor Management?

Always make (( AP aging )) in order to classfiy your vendors and how you can manage them.

Following are few best practices:

1. Continuously manage contractual relationships with suppliers

2. Treat suppliers as an extension of internal resources

3. Use the minimum number of suppliers possible

4. Select the highest value supplier, not the lowest purchase price

5. Negotiate win/win deals with all suppliers that balance risk, speed and performance

6. Actively monitor, manage and improve supplier performance