PROJECT: SUBMITTED BY:

Customer Relationship Management CRM selection team : J. Boseman x334

VENDOR ASSESSMENT SCORECARD In addition to financial metrics, there are a number of other factors to be considered that may impact selection of a vendor for an IT project. These factors include the vendors' experience, reference customers, resources, and market position. Using the section below, you can develop an overall score and a risk score based on these factors to comparatively evaluate three different vendors. First, use the pulldown tabs under "Weight" to indicate the relative importance of each factor to your organization; then, use the p ulldown tabs under each vendor section to rate them on each criterion. Overall scores and risk scores are then automatically calculated below. If your organization has other factors you want incl uded in the calculation, enter them in the "Optional factor" line.

Weight

Description

Vendor A

Vendor B

Vendor C

1 2 2 3 4 2 1 1 2 1 2 1 1 1 1

Not ApplicableHow long has the vendor been in business? * Track Record: Low Profitability: Medium Experience:
How long has the vendor been profitable? How many customers does the vendor have in your industry? How involved are customers in the future development of solutions by the vendor?

1 1 4 1 4 4 4 4 2 4 2 2 2 4 2 OVERALL SCORE * RISK SCORE 73% No Score

1 1 1 2 1 2 2 3 2 4 2 2 2 1 2 43% No Score

4 4 2 2 1 2 3 2 2 2 2 2 4 1 2 53% No Score

High Customer Driven:

Market Awareness: What is the vendor's ranking in its market? Sales Perception: How professional was the vendor's sales presentation? Capabilities: How much customization will be necessary to implement the vendor's solution? * Compatibility: Is the solution compatible with your existing infrastructure? Project Risk: How long will it take to implement the solution in your environment? Past Success: Can the vendor show independent ROI case studies from customers? * Reference Check: Are you able to contact at least 3 reference customers to validate the solution and its scalability? ROI: What is your expected annual return on investment (ROI) from the vendor's solution? Payback: How long will it take to recover your original investment? * Implementation: What percentage of the vendor's customers deployed on time and on budget? Optional factor.

ANALYZING THE OUTPUT The overall score is an assessment of each item multiplied by the weight for that item expressed as a percentage of the maxim um score possible. The weight ranges from 1 for low to 3 for high. The assessment is also linearly weighted ranging from 1 for the first item to 4 for the last item in the drop -down box. The vendor with the highest score is likely the best choice, but it is important to also evaluate the risk score. The risk score is an assessment of the items marked with an asterisk(*). In Nucleus analyst experience, these are the factors that indicate the likelihood of a successful deployment. A vendor may achieve a high overall score but if the risk score is also high, caution is advised as there is a g reater than average potential for the project to encounter problems during deployment.
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