Supplier Selection Criteria in Nigerian Manufacturing Sector

Abstract

The study examines supplier selection as a strategic purchasing function for enhancing profitability in the Nigerian manufacturing sector. It emphasizes that effective supplier selection can significantly contribute to profit maximization by ensuring the acquisition of quality materials at the lowest possible cost. The study focuses on three major dimensions of supplier selection: negotiation, competitive bidding, and constraints affecting contemporary supplier-selection practices. Given the substantial proportion of organizational revenue controlled by purchasing activities, the study recommends that qualified purchasing professionals should manage supplier negotiation, selection, and procurement commitments in accordance with established purchasing ethics and principles. It concludes that Nigerian manufacturing firms can improve profitability, develop reliable supply chains, and sustain productive supplier relationships by adopting well-structured purchasing systems and professional supplier-selection practices.