Global Standard for Procurement and Supply

Current segment

Level: Managerial

Theme: Metrics & Measurement

Segment 8.5 Measuring and Developing Performance in the Supply Chain

Segment 8.5 Measuring and Developing Performance in the Supply Chain

Knowledge: Will know and understand Capabilities: Will be able to

The use of key performance indicators (KPIs) for supply performance, including:

  • Cost
  • Quality
  • Delivery
  • Health and Safety

Develop and agree with suppliers and other stakeholders appropriate KPIs for the supply chain 


The development of measures for improving quality and actions to improve performance

Develop and monitor measures to improve the quality of contracts or functions, taking appropriate actions to improve performance

Measures for the control of prices and costs

Collate and analyse data that supports the control of prices, costs and financial savings achieved, taking appropriate actions to improve performance

Measures that assess time to market and securing deliveries to meet the required timescales

Collate and analyse data that measure deliveries of goods and services, taking appropriate actions to improve performance

Measures of innovation in procurement and supply

Collate and analyse data that measure innovations from suppliers and take actions to improve performance

Ways of promoting innovation in the supply chain by using tools and techniques, such as:

  • Cross functional working
  • Simultaneous engineering
  • Early supplier involvement
  • Supplier forums and associations

Encourage and manage innovation in the supply chain using appropriate tools and techniques

The application of eProcurement technologies in supply chains

Create systems integration across the organisation and with the organisation's supply chain

The use of approaches for supplier development, such as:

  • Knowledge and technology transfer
  • Collaborative product/service development
  • Continuous improvement reviews
  • Supplier capability assessments

Identify opportunities to make use of methodologies for supplier development

Measures of costs and benefits that can be applied in procurement and supply

Measures the costs and benefits of investments affecting procurement and supply

Qualitative and quantitative measures of performance

Ensure that a balance is achieved between qualitative and quantitative measures of performance

Measuring return on investment in procurement and supply

Evaluate the return on investment for changes made affecting procurement and supply

Knowledge: Will know and understand

The use of key performance indicators (KPIs) for supply performance, including:

  • Cost
  • Quality
  • Delivery
  • Health and Safety
Capabilities: Will be able to

Develop and agree with suppliers and other stakeholders appropriate KPIs for the supply chain 

Knowledge: Will know and understand


The development of measures for improving quality and actions to improve performance

Capabilities: Will be able to

Develop and monitor measures to improve the quality of contracts or functions, taking appropriate actions to improve performance

Knowledge: Will know and understand

Measures for the control of prices and costs

Capabilities: Will be able to

Collate and analyse data that supports the control of prices, costs and financial savings achieved, taking appropriate actions to improve performance

Knowledge: Will know and understand

Measures that assess time to market and securing deliveries to meet the required timescales

Capabilities: Will be able to

Collate and analyse data that measure deliveries of goods and services, taking appropriate actions to improve performance

Knowledge: Will know and understand

Measures of innovation in procurement and supply

Capabilities: Will be able to

Collate and analyse data that measure innovations from suppliers and take actions to improve performance

Knowledge: Will know and understand

Ways of promoting innovation in the supply chain by using tools and techniques, such as:

  • Cross functional working
  • Simultaneous engineering
  • Early supplier involvement
  • Supplier forums and associations
Capabilities: Will be able to

Encourage and manage innovation in the supply chain using appropriate tools and techniques

Knowledge: Will know and understand

The application of eProcurement technologies in supply chains

Capabilities: Will be able to

Create systems integration across the organisation and with the organisation's supply chain

Knowledge: Will know and understand

The use of approaches for supplier development, such as:

  • Knowledge and technology transfer
  • Collaborative product/service development
  • Continuous improvement reviews
  • Supplier capability assessments
Capabilities: Will be able to

Identify opportunities to make use of methodologies for supplier development

Knowledge: Will know and understand

Measures of costs and benefits that can be applied in procurement and supply

Capabilities: Will be able to

Measures the costs and benefits of investments affecting procurement and supply

Knowledge: Will know and understand

Qualitative and quantitative measures of performance

Capabilities: Will be able to

Ensure that a balance is achieved between qualitative and quantitative measures of performance

Knowledge: Will know and understand

Measuring return on investment in procurement and supply

Capabilities: Will be able to

Evaluate the return on investment for changes made affecting procurement and supply

This segment was last updated on: 21st May 2021

The Global Standard for Procurement and Supply structure

Released in 2014 the Standard is a competency framework of procurement and supply skills, knowledge and capabilities that can be used by individuals and organisations to identity training and professional development needs at varying levels of competency.

The Global Standard for Procurement and Supply structure
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