Which concept measures supplier performance across multiple metrics?

• A. Supplier scorecard.
• B. Service level.
• C. Lead time.
• D. Incoterms.

Answer: (A)

A supplier scorecard measures supplier performance across multiple metrics. It gathers and combines a range of indicators—such as on-time delivery, quality defect rate, cost competitiveness, lead times, responsiveness, and compliance—into one comparative view. Scores are often weighted and tied to targets, so you can see how well a supplier is performing overall and how performance trends over time. This approach supports objective decision-making, identifies areas for improvement, and helps manage supplier relationships effectively.

Service level focuses on meeting customer demand, usually expressed as fill rate or reliability of delivery, which is just one aspect of performance. Lead time looks at the speed from order to delivery, a single dimension. Incoterms are shipping terms that define who bears costs and risks in transit, not how well a supplier performs.