Open Access

Naomi Capangpangan

• This study evaluates an existing vendor segmentation for a case department implementing a vendor segmentation methodology in the early stages of implementation. The existing model is reviewed with literature and existing research to verify and lend basis to the existing methodology. The evaluation of the existing criteria weights in the four-by-four segmentation matrix using the multi-criteriaThis study evaluates an existing vendor segmentation for a case department implementing a vendor segmentation methodology in the early stages of implementation. The existing model is reviewed with literature and existing research to verify and lend basis to the existing methodology. The evaluation of the existing criteria weights in the four-by-four segmentation matrix using the multi-criteria decision-making (MCDM) technique is another major emphasis of this study. An interview survey was conducted for individuals in vendor management and category lead roles to calculate and arrive at a group decision on the weights and rank of the criteria of the business value and vendor dependency dimensions. The resulting calculations were utilized to derive segmentation bases of hypothetical vendors and tested the stability of the results by performing sensitivity analysis. The study also proposed an engagement model according to the segment bases.…