The vendor management software market is booming, and for good reason. Strong relationships with suppliers can get you preferential treatment—whether that’s being first in line for new products, receiving speedy assistance when a shipment goes missing, or enjoying bulk discounts that further improve your profit margins. With the market size expected to hit $17.2 billion by 2030, businesses are clearly investing heavily in better ways to manage vendor relationships. But with hundreds of solutions available, finding the right one can feel like searching for a needle in a haystack. Ahead, you’ll discover the six top VMS options to date, complete with criteria for choosing the best one for your business.
Vendor management software (VMS) handles all your supplier relationships by centralizing everything vendor-related: contracts, performance tracking, payments, products, and vendor communication. Rather than digging through endless email chains and spreadsheets, all your information lives in one place. Most modern vendor management systems are cloud-based, so you can access them from anywhere, and they can be used throughout the entire vendor lifecycle, from onboarding to contract renewals. Companies of all sizes utilize VMS, but it’s especially important for retail brands that manage multiple suppliers, manufacturers, and service providers. Key benefits of vendor management software include saving time by automating routine tasks, reducing errors in vendor payments and contract management, offering real-time visibility to track vendor performance, spotting cost-saving opportunities, making compliance and audit processes smoother, and improving supplier relationships through better communication.
1. Shopify
Shopify offers essential vendor management features that support a unified commerce approach to retail operations. While not a dedicated VMS, it provides management tools for retailers to effectively oversee suppliers and inventory through its admin interface and the Stocky app integration. This unified commerce platform connects vendor data with product management and inventory control, making it ideal for retailers looking to consolidate their tech stack and manage operations cohesively. By integrating vendor management with other commerce operations, you can create more seamless workflows and gain visibility across your entire supply chain. Retailers can also extend their vendor management capabilities through Shopify’s App Store using specialized apps for supplier portals, advanced inventory management, and automated purchasing workflows.
Shopify offers features such as built-in vendor information management in the Shopify admin, product filtering and sorting by vendor, bulk editing capabilities for vendor assignments, Stocky app integration for detailed supplier profiles and inventory management, and vendor performance tracking through sales data. Shopify Bill Pay provides streamlined vendor payments which varies depending on the region, and CSV import/export for vendor data management. Havens Luxury Metals is one example of a retailer using Shopify Bill Pay to manage vendors efficiently, saving up to two hours a week while better organizing the company’s finances. Shopify Bill Pay transformed their payment process, providing automated invoice processing and multiple payment options such as credit card, ACH transfer, or Shopify Balance.
2. SAP Fieldglass
SAP Fieldglass offers an enterprise VMS specifically designed for large enterprises and organizations with complex external workforce needs. The platform helps retailers manage intricate networks of temporary staff, service providers, and contractors with its comprehensive workforce management features. As part of the broader SAP ecosystem, Fieldglass integrates with enterprise systems, providing visibility and control over external talent and services spending. It also tracks statement of work (SOW)-based projects with external service providers, offering enhanced insight into procurement processes and budgeting.
SAP Fieldglass includes features like a Contingent Workforce Management module for holistic non-payroll workforce oversight, Services Procurement capabilities for SOW-based project tracking, Assignment Management for coordinating multiple external workers, Worker Profile Management for talent tracking and compliance, and automated onboarding and workflow management. Additional tools for security and risk mitigation, comprehensive analytics, and reporting enhance the platform’s utility. Fieldglass is a cloud-based solution, ensuring easy access and integration with other SAP applications, making it a powerful tool for large-scale organizations.
3. Coupa
Coupa presents a supplier management solution as part of its business spend management (BSM) platform, focusing on automation and strong compliance controls. It provides AI-powered insights and automated workflows, enabling retailers to handle complex supplier networks and compliance efforts more efficiently. Coupa’s supplier self-service portal allows for easy information management and updates, ensuring more streamlined interactions between retailers and suppliers.
The platform offers a range of features, including AI-powered risk monitoring and automated alerts, multi-domain risk assessments encompassing InfoSec, GDPR, and anti-bribery concerns, diversity and inclusion tracking with access to over 2 million certified diverse suppliers, performance scorecards, and continuous monitoring. Automated supplier onboarding and information validation, built-in vendor fraud prevention, real-time compliance monitoring and alerts, and seamless integration with procurement and invoice management round out Coupa’s impressive feature set. Its ability to mitigate supplier risk while strengthening relationships makes it a valuable tool for retailers looking to optimize their vendor management strategies.
4. Oracle SCM Cloud
Oracle SCM Cloud caters to large-scale enterprises, particularly those already invested in the Oracle ecosystem. Known for its enterprise-grade software, Oracle’s vendor management tools are part of its SCM cloud suite, helping organizations standardize processes from vendor qualification to evaluation. Oracle’s unified cloud ecosystem facilitates seamless integration with other Oracle applications, providing enhanced visibility and control over the entire supplier lifecycle.
Key features of Oracle SCM Cloud include comprehensive vendor record management with detailed profiling, structured pre-qualification workflows for new vendors, advanced vendor evaluation and performance tracking, Master Service Agreement (MSA) management and automation, and facilities bid management and vendor sourcing. The platform also offers automated compliance monitoring and tracking, real-time vendor performance analytics, and integration with Oracle ERP and procurement modules. Enterprises using Oracle products such as NetSuite ERP system will find the seamless integration particularly beneficial, enabling them to leverage existing investments.
5. Kissflow Procurement Cloud
Kissflow Procurement Cloud stands out for its flexibility, user-friendliness, and quick implementation capabilities, making it an excellent choice for retailers seeking a customizable procurement platform. Its low-code environment allows businesses to tailor the procurement process to their specific needs, providing accessibility without sacrificing robust functionality. Kissflow focuses on end-to-end procurement automation, ensuring a streamlined and efficient vendor management experience.
Features of Kissflow Procurement Cloud include an intuitive supplier portal for self-service management, customizable supplier onboarding workflows, performance tracking with configurable scorecards, centralized supplier information management, real-time catalog management, contract storage and management, integrated supplier performance ratings, and custom metric tracking for supplier evaluation. Its adaptability and ease of use ensure that retailers can implement the solution quickly and customize it to suit their unique needs, making it a valuable tool for managing supplier relationships.
6. Procurify
Procurify simplifies retailer-vendor relationships with features geared toward reducing maverick spending and establishing structured procurement processes without overwhelming complexity. The platform centralizes vendor records and documentation, integrating external supplier catalogs for more efficient ordering. Procurify’s centralized approach aids in negotiating rates, tracking spending against established vendor contracts, and assessing vendor risks.
Procurify offers automated vendor onboarding workflows with standardized forms, a pre-approval system for vendor management, centralized document storage for W9s, contracts, and agreements, custom product catalogs for controlled purchasing, PunchOut capabilities for external supplier catalogs, contract tracking and renewal management, vendor performance tracking and analysis, and integration with major retail ERP and accounting systems. Retailers can better control procurement processes and ensure that appropriate personnel sign off on purchase orders and invoices, enhancing overall efficiency and compliance.
