Supplier Incentivisation


The concept describes supplier incentivisation and reviews the strengths, capabilities, success factors and main constraints of this tool.

Technique Overview

Supplier Incentivisation Definition

Incentivisation is the term used to align the motivations of the client with the supplier and vice-versa by and stimulating supplier's performance improvement in return for enhanced reward. Incentivisation can lead to a purchasing partnering relationship (CIPS: Purchasing and Supply Management. Incentivisation).

Supplier Incentivisation Description *

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Business Evidence

Strengths, weaknesses and examples of Supplier Incentivisation *

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Business Application

Implementation, success factors and measures of Supplier Incentivisation *

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Professional Tools

Supplier Incentivisation videos and downloads *

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Further Reading

Supplier Incentivisation web and print resources *

Supplier Incentivisation references (4 of up to 20) *

  • Archibald, J. (2008) Incentivisation: A Perfect Partner for Commission? [Online] Available at:http://www.incentivise.com/documents/opinion_incentivisation_partner_commission.pdf [Accessed: 10 April 2012].
  • Bower, D. and Joyce, B. (2003) Incentivisation in Construction Contracts. In: Management of Procurement, Bower, D. (ed), Thomas Telford publishing: London.
  • CIPS: Purchasing and Supply Management: Incentivisation.
  • Ejohwomu, O. (2011) Incentivising Process Innovation in Construction Supply Chain: The Formal Communication Structure. Journal of Sustainable Development and Environmental Protection, Vol. 1(2), pp. 18-32.

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