Would you like to send feedback directly to Suppliers on a per line item basis? With Feedback Ranges in Dynamic Negotiation Analysis (DNA), Scout makes it easy for you to interact with Suppliers and request updates after bids are submitted.
In this article, we will cover:
- What are Feedback Ranges?
- Why use Feedback Ranges?
- How to set up custom Feedback Ranges
- How to view Feedback Ranges
- How to Request Updates from Suppliers
Before running Feedback Ranges, it is recommended to add your reference columns and data in order to establish a baseline from which the Supplier's bids will be compared. Without reference data, Feedback can be generated based off of bid averages instead.
For more information on how to include reference data in DNA, please review our article here.
What are Feedback Ranges?
Feedback Ranges are similar to an update request within an RFx except the feedback is given on a per line item basis in the Worksheet. The Sourcing Team can control the range, wording, and color coding that is shown on each bid submission. The Sourcing Team also has the option to send custom feedback requests to each supplier
Why use Feedback Ranges?
Feedback Ranges help define where suppliers’ bids are competitive! It is possible to send different feedback ranges to each supplier, which can be done strategically to help drive prices down.
Once you have Feedback Ranges set up, you can request bid updates from your supplier(s). This is an excellent choice when:
- Suppliers misinterpreted requirements or provided incorrect information,
- Edits need to be made by a supplier after the Bid Submission Deadline, and/or
- You would like to do a modified best-and-final round from a select group of suppliers.
The "Request Updates" feature allows you to write a note to your supplier(s), attach any documents within that note, and provide a timeline specific to the request!
How to Set Up Feedback Ranges
1. Navigate to your RFP Dashboard and click the Analyze Bids button in the "Invite Suppliers" section:
2. Open the "Analytics Toolbox" and select "Map Data". Make sure the "Baseline Price Per Unit" and "Baseline Total Spend" fields are mapped to your reference data.
3. Return to the Analytics Toolbox and select "Feedback Ranges" and then "Add Custom Range Feedback":
4. Select which Supplier column the feedback will be generated for, and then select what data source will be used as the baseline. For this Example, we are using our reference data for Historic Item Price.
5. Next, configure the feedback settings. You can change the color and wording of the feedback ranges, how many ranges to define, and the percentages associated with each range.
The ranges you define tell Scout to compare the Supplier's bid and your reference data, and then highlight each line item based on the percent difference it finds. In the example above, if a Supplier's bid is within a 10% difference to our reference data, then it will be highlighted in green and marked as "Good". Depending on the value of the line items in your Event, these ranges will need to be tightened or loosened.
Once you are satisfied with your settings, click "Apply". If you decide further updates to the configurations are needed, simply return to the Analytics Toolbox, select "Feedback Ranges" and click "Edit":
How to View Feedback Ranges
To see your Feedback Ranges in action, select the Item Details tab. A Summary of the results will appear in the Feedback Ranges columns, and each Supplier's submitted bid data will be highlighted based on the feedback parameters you defined.
Request Updates from Suppliers
There are two ways that you can request bid updates from them through the DNA tool.
Option 1: Request updates from all suppliers by opening the "Scenarios:Suppliers:Columns" side panel and clicking the "Request Update" button:
Clicking "Request Update" will allow you to send a message and set a new bid resubmission deadline for all suppliers:
Option 2: Request updates from an individual supplier by clicking the Actions button next to the supplier's name, and then the "Request" button from the side panel:
You will be redirected to the Feedback Summary page that shows a count of all feedback on each worksheet by section. The goal of the summary is to give you an idea of what type of feedback you are sending to your supplier:
Below the Feedback Summary, you can send a message and set a new bid resubmission deadline for the supplier:
Click the "Request Update" button to send your bid update request to your supplier.
Once you send the feedback, you can navigate back to the DNA page where it shows the history of update requests with time stamps on the sidebar:
After Requesting Updates
Suppliers: When the supplier logs in, they will be able to see all of the feedback you have sent within their Worksheet on Scout, edit the Worksheet as needed, and resubmit.
Buyers: Once bid resubmissions come in, you'll be able to view a side-by-side comparison and see which line items the supplier has updated.