Info for suppliers

Profile of a World Class Supplier

A world class supplier to a major contractor and tier 1 contractors needs to be proficient in these areas:

Customer focus.
Technical capabilities and expertise.
Capacity.
Innovation and responsiveness.
Technology and productivity.
Systems.
Performance track record.
Value for money.

Based on feedback from procurement managers and experience from past work, a profile of requirements has been compiled below covering:

A world class tier 2 supplier.
A tier 3 supplier network aspiring to be world class.
A tier 3 supplier.
A tier 4 supplier.
A tier 5 supplier.

The qualities needed of suppliers are ranked in 3 levels – core or assumed capabilities, important capability requirement, desirable capability.
These profiles can be used to guide supplier capability and capacity development.

(Legend: core or assumed capability – 3 stars, important capability requirement – 2 stars, desirable capability – 1 star)

Theme	Attributes	Tier 2 Firm – World Class	Tier 3 Network - World Class	Tier 3 Firm - Good Performer	Tier 4 Firm -Good Performer	Tier 5 Firm -Good Performer
Customer focus	Understands relationships and has the capacity to build and sustain long-term, positive supplier relationships.
	Strong customer focus – responsive, understands customer needs and has the flexibility to respond to these needs.
	Has a good understanding of the major projects environment and has a good specific understanding of the current project.
	Has a good working understanding of the project development pathway and where the supplier’s own firm fits in this pathway.
	Typically has a successful past relationship with a tier 1, tier 2 or tier 3 supplier to major projects.
	Regarded as being easy to work with.
	Open, transparent and has integrity.
	Strong focus on collaboration – working with clients on shared goals and objectives. Able to align with project values and drivers.
Technical capabilities and expertise	Has strong technical, design and innovation skills at management level, senior operational and at tradesperson/operational level.
	Capacity to supply products and services valued by major projects.
	The supplier will typically be well known within their local region as a solid, strong performer in their area of supply or activities.
	Diversity of product/service offering – providing a range of needed capabilities.
	Capacity to understand project KPIs, align management systems to KPIs and monitor KPIs.
	The firm has a commitment to building skills. This includes succession planning for key positions, lead team stability and attraction, retention and skilling of staff.
	Strong track record in managing industrial relations issues.
	Understands the major projects market and performance expectations of this market.
	Ability to manage their own work to the standard expected by the next tier – managing upwards.
Capacity	Significant capacity to produce and/or the ability to expand production through subcontracting networks.
Capacity	Financial capacity to undertake significant work packages.
Innovation and responsiveness	Track record of innovation and problem solving.
	Value adding to exceed customer expectations.
	Flexibility and responsiveness are a hallmark of the firm’s approach.
	Good ability to deal with unexpected issues.
	Capacity to provide follow up service and product/work support.
Technology and productivity	Significant investment in technology and information technology.
	Continuous improvement focus including productivity improvement.
	Significant design capabilities.
Systems	Has a quality control system or is quality assured.
	Has management systems to manage work on the firm’s premises and on site.
	Has a safety management system (upper tier) or procedures in place to comply with site safety requirements.
	Has an environmental management system. Focus on energy, water and resource use reduction.
	Has strong document control e.g. invoicing, project documentation, handover documentation.
	Actively monitors costs and controls costs.
	Has effective project reporting systems – clear, easy to understand.
	Capacity to understand, respond to and proactively manage compliance issues.
	Competent tendering skills.
	Track record of delivery on time.
Performance track record	Consistent, high quality performance on projects.
	Strong budget management and cost control.
	Good communication.
	Known for reliability.
	Manages risk effectively.
	Competes successfully in a range of markets. May be an exporter.
	Has a focus on delivering value for money.
Value for money	Aims to understand client drivers for value.
	Balanced approach to cost variations. Where possible resolves issues rather than resorting to contractual variations.
	Competitiveness is a driver and uses innovation and technology to improve productivity and reduce the cost profile.

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