Preferred supplier panels can reduce chaos—if they are designed as an operating system, not just a list of suppliers.
The difference between a high-performing panel and a frustrating one is usually clear scope and role definitions, measurable performance expectations, consistent governance and reporting, and consequences and improvement actions that are actually used.
Want a managed approach to supplier governance and reporting? Explore MSP and people solutions.
Key takeaways
- Panels work best when roles are standardised and requirements are unambiguous.
- Use a small, outcomes-based scorecard (fulfilment, quality, compliance, cost/governance).
- Governance needs a cadence (weekly operational, monthly performance, quarterly strategic).
- Underperformance must trigger action: improvement plan → shift volume → remove if needed.
Step 1: Define the panel scope (what’s in, what’s out)
Decide:
- Role families included (trades, operators, admin, professional roles)
- Locations/sites included
- Employment types (contingent, permanent, projects/shutdowns)
- Safety/compliance requirements by role family
Step 2: Standardise role definitions (the hidden performance lever)
If each site uses different titles and requirements, you will get inconsistent submissions, unreliable reporting, and disputes about rates and “what the role actually is”.
Create standard role profiles:
- Role title
- Core tasks and context
- Mandatory tickets/licences
- Preferred experience
- Roster expectations
- What “site-ready” means
Step 3: Supplier selection criteria (practical list)
Use criteria that predict outcomes:
- Ability to supply your key roles (evidence, not promises)
- Compliance processes and verification approach
- Safety performance and reporting capability
- Time-to-submit responsiveness
- Candidate quality and retention outcomes
- Coverage across your sites/regions
- Reporting maturity (can they provide the data you need?)
Step 4: SLAs and expectations (keep them simple)
Examples:
- Response time to a request
- Minimum submission quality standards
- Time-to-submit targets for priority roles
- Compliance evidence required before start
- Escalation pathways for urgent mobilisation
Step 5: Scorecard KPIs (starter set)
Fulfilment
- Fill rate (positions filled / requested)
- Time-to-submit (supplier response speed)
- Time-to-fill (by role family and site)
Quality
- Submission-to-interview conversion (where relevant)
- Early attrition (first week / month)
- Hiring manager satisfaction pulse
Compliance and risk
- Compliance pass rate (tickets, right-to-work, inductions, medicals if required)
- Onboarding cycle time (approved → site-ready)
Cost and governance
- Rate compliance (to agreed bands where applicable)
- Spend visibility (by site and role family)
How to run panel governance (cadence)
Weekly (operational)
- Urgent gaps
- Bottlenecks
- Onboarding delays
Monthly (performance)
- Scorecard review
- Improvement actions
- Supplier ranking and feedback
Quarterly (strategic)
- Panel composition (add/remove suppliers)
- Role profile updates
- Forecast alignment and pipeline planning
What to do with underperformance
Set a simple escalation ladder:
- Agree an improvement plan with targets and dates.
- Move work to higher-performing suppliers if needed.
- Remove from panel if issues persist.
Where an MSP fits
An MSP model can coordinate the panel, standardise workflows, and provide consistent reporting. Explore MSP and people solutions.
If you want a plain-English definition first, see what is an MSP (workforce solutions guide).
Related services
FAQ
How many suppliers should we have on a panel?
Enough to cover demand and reduce risk, but not so many that governance becomes meaningless. Start small and expand only if needed.
Should we use rate cards?
If roles are standardised and volumes are meaningful, rate bands can reduce friction. Design them carefully and review periodically.
Next step
If you want consistent supplier performance reporting and program governance, explore MSP and people solutions.
General information only: this article provides general information and is not legal advice.
