VMF Framework

The infinmatix Vendor Management Framework (VMF) encapsulates well established and sound procurement principles, practices and methodologies which have been designed to maximise the business benefits for any arrangements for acquiring goods and services whilst minimising the risks in dealing with external vendors.

This model defines the required business processes and procedures to effectively select and manage a vendor.

There are six distinct phases to managing a vendor relationship ranging from evaluation of the opportunity to renewal (or termination) of the vendor contract.

1. Identify and evaluate opportunity

Development of business case- includes the strategic alignment of the proposed sourcing arrangement as well as identifying major risks and the risk management approach taken.

2. Select vendor 

Infinmatix will work with you to develop the appropriate go to market strategy to select the best possible vendor. We can complete competitor and vendor research and analysis to help you filter down to a select list of  potential vendors.

3. Finalise and negotiate 

For most SMEs contractual terms are often loosely defined or not at all. It is very important that vendor deliverables and pricings are finalised and embodied into a legally binding arrangement. At this phase, infinmatix can assist you with negotiating more optimal terms based on your requirements and circumstances.

4. Transition contract 

A new vendor arrangement must be carefully managed to minimise the impact on your customers and staff and can be a potentially high risk exercise. This is the point when infinmatix hands over the sourcing program to you to facilitate the ongoing, day-to-day management of the vendor at an operational level.

5. Governance

This phase focuses on the ongoing performance management of the vendor and our clients. Effective governance arrangements helps ensure the outsourcing/material relationship meets and exceeds expectations of our clients and can be developed to meet your evolving business needs.

6. Renew or Terminate

Almost all sourcing arrangements have a definitive start and end term. Prior to the end of any arrangement, infinmatix can assist in validating the options for renewing (on similar or different terms), return the activity in-house, or change to another vendor with more favourable terms.

Depending on your requirements and nature of the services or goods being sought- not all processes need to be deployed in every engagement. The level of deployment or due diligence required will be determined during the requirements verification phase and will depend on whether the business requirement is deemed as material or non-material.

Ready to take the next steps or want to find out more about our VMF processes?

Please contact us.