Supplier

Definition

Supplier is any party that supplies goods or services. An entity upstream from the Organization (i.e., in the organisation’s supply chain), which provides a product or service that is used in the development of the organisation’s own products or services.

A supplier can have a direct business relationship with the organisation (often referred to as a first-tier supplier) or an indirect business relationship.

Examples

• A node in a Physical Supply Chain
• An Electricity Supplier

Notes

• A supplier may be distinguished from a Contractor or Subcontractor, who commonly adds specialized input to deliverables.
• The suppliers of suppliers in a supply chain are denoted as second tier suppliers etc.

See Also

• http://www.businessdictionary.com/definition/supplier.html