Definition: Supplier Relationship Management is an all-inclusive approach to managing the affairs and interactions with the organizations that supply your company with goods and services. This includes communications, business practices, negotiations, methodologies and software that is used to establish and maintain a relationship with a supplier. Benefits include lower costs, higher quality, better forecasting and less tension between the two entities that result in a win-win relationship.
Also Known As: SRM, S.R.M.
Examples:Supplier Relationship Management can be simplified by using software especially designed to help businesses accomplish this function.