About - Vendor Tracking - Multi-Application Platform

Scoring Pillars, Weights, and Formulas

Final Score Calculation

Final Score = (Cost Score × Cost Weight) + (Time Score × Time Weight) + (Vendor Maturity Score × Maturity Weight) + (Capacity Score × Capacity Weight)

Default weights: Cost 40%, Time 30%, Vendor Maturity 20%, Capacity 10%
Normalization: Weights automatically normalize to 100% for scoring
Score range: 0-100% (lower scores are better for Cost and Time, higher scores are better for Maturity and Capacity)

Scoring Pillars

Total Cost Score

Input: Unit price + freight cost + tariffs per part
Calculation: Average across all vendor parts
Scoring: Lower cost = higher score

Total Time Score

Input: Lead time (weeks) + transit time (days)
Calculation: Average across all vendor parts
Scoring: Shorter time = higher score

Vendor Maturity Score

Components: Operational Excellence (35%), Financial Maturity (25%), Innovation (20%), Business Maturity (15%), Partnership (5%)
Calculation: Weighted average of 5 maturity dimensions
Scoring: Higher maturity = higher score

Capacity Score

Input: Monthly production capacity per part
Calculation: Total capacity across all vendor parts
Scoring: Higher capacity = higher score

Risk Flags and Thresholds

Compliance Risks

UFLPA non-compliance
Conflict minerals non-compliance
Missing or outdated audit documentation
ISO certification deficiencies

Operational Risks

Data staleness (>120 days)
Low production capacity
Poor vendor maturity scores
Quality issues (high PPM defects)

Supply Chain Risks

Extended transit delays
Significant cost increases
Part compliance issues (RoHS/REACH)
Lead time inconsistencies

Risk Levels: High (red), Medium (yellow), Low (green) - Risk thresholds are configurable in Settings.

Components & Data Overview

Key Data Inputs

Component Information: Name, vendor association
Pricing: Unit price, freight cost, tariff rates
Timing: Lead time, transit time, shipping mode
Capacity: Monthly production capacity
Quality: Last verification date

Calculations

Total Landed Cost: Unit price + freight + tariffs
Total Time: Lead time + transit time

Vendor Aggregation

Average cost and time across all vendor parts
Total capacity across all vendor parts
Vendor maturity assessment

Total Cost of Ownership Methodology

Volume Estimation

Annual volume = Forecast demand (if available) OR 50% utilization of monthly capacity × 12 months

Cost Calculation

Uses total landed cost per unit (includes unit price, freight, and tariffs)

3-Year Projection

TCO = Annual volume × Total landed cost × 3 years (per part, summed by vendor)

TCO Formula

3-Year TCO = Σ(annual_volume × total_landed_cost × 3) across vendor parts

Analysis Outputs

Total Portfolio TCO: Sum across all vendors
Average per Vendor: Portfolio mean
TCO per Part: Vendor TCO divided by part count
Portfolio Concentration: Top vendor percentages

Note: TCO calculations are based on current cost and capacity data. Actual future costs may vary due to market conditions, inflation, and contract changes.

Vendor Maturity Assessment

Vendor maturity is calculated using 5 dimensions that evaluate suppliers across operational, financial, innovation, business, and partnership capabilities.

Vendor Maturity Formula


                                Vendor Maturity = (Operational Excellence × 35%) + (Financial Maturity × 25%) + (Innovation & Technology × 20%) + (Business Maturity × 15%) + (Partnership & Communication × 5%)

Operational Excellence (35%)

Inputs: On-Time In-Full delivery %, lead time consistency, quality score (PPM defects)

Financial Maturity (25%)

Inputs: Financial stability score, debt-to-equity ratio

Innovation & Technology (20%)

Inputs: Digital transformation score, technology readiness level, patent portfolio strength

Business Maturity (15%)

Inputs: Company age, company size category

Partnership & Communication (5%)

Inputs: Communication quality assessment, continuous improvement metrics

Compliance Scoring Framework

Compliance Score Calculation

Compliance Score = (# passed checks ÷ 5) × 100

Five Compliance Checks (Equal Weight)

UFLPA Compliance: Uyghur Forced Labor Prevention Act
Conflict Minerals: 3TG (Tin, Tantalum, Tungsten, Gold)
RoHS Compliance: Restriction of Hazardous Substances
REACH Compliance: Chemical Registration
Audit Presence: Recent audit documentation

Risk Level Classification

Low Risk: ≥80% compliance score
Medium Risk: 60-79% compliance score
High Risk: <60% compliance score

Part-Level Compliance

RoHS and REACH compliance roll up from individual parts to vendor-level summary. Thresholds:

RoHS: <80% High risk, <90% Medium risk
REACH: <70% High risk, <80% Medium risk

Critical Compliance Areas: UFLPA and Conflict Minerals non-compliance automatically generate high-severity risk flags due to regulatory and reputational impact.

About Vendor Tracking