In the construction industry, ‘supplier’ is a very general term which refers to organisations contracted as part of the delivery of a built asset. Suppliers might have been considered to be organisations contracted to provide physical supplies such as goods, materials, plant, and so on, a supplier as any provider of services or goods either directly to the employer or to another supplier in a supply chain’. The ‘supply chain’ is the interconnected hierarchy of suppliers.
The supplier evaluation framework can help to set up a benchmark and corrective action plan for the existing supplier. Supplier Evaluation and Management had been practiced in manufacturing industry and Construction Projects. The most important criteria in construction industry is material quality, delivery dependability, and cost. The most important factor of supplier selection is the quality level of the procurement items. Below is a diagram showing supplier assessment as part of the Supplier Lifecycle.