How to qualify your suppliers

In today’s complex business environment, understanding and managing your supply chain is more critical than ever. Supply chain mapping is not just about identifying who your suppliers are; it’s about qualifying them and understanding their role and impact on your business. This article delves into the intricacies of supplier mapping and qualification, a vital process for businesses seeking to enhance efficiency, reduce risks, and maintain high standards in their supply chain.

The Essence of Supply chain Mapping

Supplier mapping in a supply chain involves a comprehensive process of qualification, focusing on their direct or indirect involvement. This initial phase of analysis marks the beginning of a more structured process of traceability and data collection.

When suppliers are directly involved, they are termed as ‘Verified Suppliers.‘ This direct involvement means they actively participate in the traceability and data collection processes. In contrast, when the involvement is indirect, suppliers are referred to as ‘Declared Suppliers.’

Supply chain mapping and Verified Supply Chain: A Direct Approach

In a Verified Supply Chain, the involvement of suppliers is direct. They become active participants in the data collection and then in a traceability process. This direct approach enhances the accuracy and reliability of the supply chain data.

Our Platform’s Approach to Supplier Engagement
Our platform engages suppliers through various stages:

1. Customized onboarding of the tool
2. 1-to-1 sessions tailored to the purpose of traceability
3. Ongoing training and support

The qualification process occurs both digitally and physically. Suppliers are invited to activate codes sent to their declared addresses, ensuring the supplier’s existence.

What information is collected after the integration of a supplier? Once a supplier is integrated into the platform, specific information required by the brand is collected. This information can be highly customized, covering:

1. General information and details, like possible multiple production sites
2. Economic information: economic reliability of the players involved
3. References: information about the supplier’s collaborations
4. Compliance: regulatory compliance data
5. Sustainability information: customizable or integrated with Ympact and the 4sustainability framework

For companies with existing sustainability strategies, this area can be customized. Those without can rely on our integration with Ympact, defining a roadmap based on the 4sustainability framework.

Supply chain mapping and Declared Information: Beyond the First Level

Many brands, having control over their first-level suppliers, aspire to go further. They seek information about their second-level suppliers (sub-suppliers). In such cases, information is initially collected as Declared Information.

Suppliers can declare their sub-suppliers in various ways:
1. By Process: Creating a list of suppliers for each process
2. By Product: Defining whitch suppliers is involved for each product
3. By Order: Indicating suppliers involved in specific orders
4. By Delivey : in specific delivery

Our database, with over 80,000 qualified global fashion supply chain companies, allows brands to search and link their suppliers using the above parameters. If a supplier is not pre-listed, the information is compiled in collaboration with the brand.

Conclusion: Two Levels of Qualification

In summary, thank to a supply chain mapping, there are two levels of supplier qualification:
1. The first level involves mapping and detailing all essential information to define the supplier.
2. The second level is declared, where the identity of the supplier is known, but the relationship is indirect, understanding how they interact within the supply chain.

This comprehensive approach to supplier mapping and qualification is crucial for businesses aiming to maintain a robust, efficient, and responsible supply chain.
By understanding and implementing these strategies, companies can ensure they are working with the right partners, ultimately leading to a more sustainable and successful business model.

Through knowledge of our suppliers, first level and subsequent levels, of their working practices and shared information, we can have data and get answers on different areas.

Do you want to know how The ID Factory can support you with Supply Chain Mapping?
Book a call here.