The Microsoft Preferred Supplier Program (MPSP) has specific criteria that suppliers are required to meet. Suppliers are also evaluated against certain Microsoft business objectives. That's why not every supplier that is referred to the program and that meets the basic criteria is admitted.
Criteria Overview
To be part of the program, suppliers must meet the criteria outlined here.
| Criteria | Premier | Preferred |
|---|
Be nominated by a Category Manager (CM), Supplier Account Manager (SAM), Procurement Manager (PM), or business owner. - Supplier must demonstrate a high level of performance
- Nomination is for a specific category of goods and services
|  | |
Sign an MPSP Agreement or MPSP-compliant contract | | |
Meet a minimal annual spend threshold. (> 10$M USD (US) and > 1$M USD (Other countries)) | | |
Offer preferred pricing to Microsoft | | |
Premier suppliers are the featured supplier by category in the e-procurement system that is used by Microsoft employees. In some cases, a supplier may be the sole supplier in a category. Some categories of goods or services may not have a supplier at the MPSP Premier level. Premier suppliers make up no more than the top 20 percent of the Microsoft supplier base.
Benefits Overview
When a supplier joins the Microsoft Preferred Supplier Program, the supplier becomes eligible for program benefits, which Microsoft may modify over time. The following table outlines the current MPSP benefits.
| Benefit | | Premier | Preferred |
|---|
More work | - Listed on Category Cards AVL's (Approved Supplier Lists) as the best suppliers for the given category
| | |
Training | - Trained on category-specific content as well as in the use of general Microsoft procurement processes, such as MS Invoice and MS Inquire (United States and Canada only)
| | |
Network | - Microsoft Product Roadmap: extended license and product displayed on the extranet site
- Access to BrandTools and MediaBank
- Discounts on select software, hardware, and books (United States and Canada only)
| | |
Updates | - Quarterly update about GPG through the MPSP Update newsletter
| | |
General events | - MPSP Summit
- MPSP/GPAC Supplier Expo
- Regional MPSP Supplier Day
| | |
Exclusive events | | | |
Exposure | - Annual meeting with regional directors
- Annual meeting with CPO (Global Premier Suppliers only)
| | |
Recognition | - Eligible for awards
- Premier plaque
| | |
Scorecard | - Minimum Annual Supplier Performance Management Review and Scorecard
| Minimum annually | |
Supplier Awards
Microsoft annually recognizes suppliers that consistently provide an outstanding level of service and quality through the MPSP Excellence Awards Program.
The award categories are:
Supplier of the Year
Value Excellence
Quality Excellence
Service Excellence
Diversity Excellence
Technology Excellence
Environmental Excellence
All nominations are submitted by the Category Manager (CM) and Supplier Account Manager (SAM) by using an official entry form. Suppliers cannot nominate themselves. An award selection committee then determines the winners, which are announced and awarded at the MPSP Annual Supplier Summit each year.
In 2010, Microsoft issued seven MPSP Excellence Awards to key suppliers whose performance over the past year demonstrated exceptional commitment and service.
Supplier of the Year Award: Hitachi
Hitachi provides services for IT systems; electronic devices; digital media; and consumer products, materials, and components and logistics. Hitachi was instrumental in the support of Microsoft’s introduction of a premium version of Xbox 360 for the holidays by pulling in product and prioritizing Microsoft during a very tight industry supply period to meet aggressive schedules for special builds.
Diversity Award: Allegis Group Services
Allegis Group Services, the world’s fifth largest contingent workforce management company, supported Microsoft’s diversity objectives by driving a dynamic supplier base (diverse and nondiverse) without compromising service level agreements and overall service, delivery and quality. As a result, diversity spending in the Microsoft Talent Source Program has increased from 11 percent at the September 2008 program inception to 32 percent of cumulative total program spending as of October 2010. Record months show diversity spending exceeding 40 percent of total program spending. This directly contributed to Microsoft reaching the Billion Dollar Roundtable, an organization created in 2001 that recognizes corporations spending more than $1 billion with diverse suppliers. This milestone not only positions Microsoft for doing business with government and other public institutions but also demonstrates Microsoft’s strong commitment to diversity.
Environmental Award: Starwood Hotels & Resorts
Starwood Hotels & Resorts, one of the world’s largest hotel and leisure companies, supported Microsoft’s environmental goals by creating a dedicated Department of Environmental Sustainability; issued a comprehensive Environmental Sustainability Policy; and launched an online Sustainability Resource Center, including an Environmental Initiative Assessment Survey and Initiative Tracking Tool.
Service Award: Pitney Bowes Inc.
Pitney Bowes Inc. is one of the largest companies in the global mainstream industry to provide both physical and digital communications. Pitney Bowes consistently exceeds expectations in cost, quality and delivery by demonstrating significant strength in collaborating and partnering with Microsoft business groups and Microsoft suppliers.
Technology Award: Hitachi Ltd.
Hitachi Ltd. provides services for IT systems; electronic devices; digital media; and consumer products, materials, and components and logistics. Hitachi designed and built custom manufacturing and test equipment specifically required for the global launch of Kinect. Since the start of manufacturing, Hitachi has maintained an exceptional production yield, minimizing waste in utilizing the tightly constrained subcomponents required for building this device. Hitachi worked closely with Microsoft and strategic component suppliers to maintain continuity of supply.
Quality Award: Universal McCann
Universal McCann, one of Microsoft’s premier global media agencies, delivered exceptional value through global best practices, innovative digital programs and historic high-performance negotiating rates. The result was that Microsoft’s overall budget capacity was extended substantially.
Value Award: Flextronics International Ltd.
Flextronics International Ltd. provides product development, new product introduction, manufacturing and refurbishment services to many Microsoft hardware products. Flextronics exceeded Microsoft’s expectations in its global team support to Microsoft’s Kinect launch, which represents significant value to Microsoft. Flextronics has built millions of Kinect devices since the start of mass production.
2009 Excellence Award Winners
Supplier of the Year Award: Compass Group, North American Division
Diversity Award: Corona Wright
Environmental Award: DB Engineering
Service Award: GLY Construction
Technology Award: Compass Group, North American Division
Quality Award: Crispin Porter & Bogusky LLC
Value Award: Hitachi Global Storage Technologies (Hitachi GST)
2008 Excellence Award Winners
Supplier of the Year: Lionbridge Technologies Inc.
Diversity: Marriott International Inc.
Environmental: Grubb & Ellis Co. and Compass Group PLC.
Service: CRG Events
Technology: Toshiba America Inc.
Quality: MV Transportation Inc.
Value: Revonet Inc.
2007 Excellence Award Winners
Supplier of the Year: Grubb & Ellis Management Services
Quality: MV Transportation
Service: LCJ EEIG
Technology: HP
Value: Infineon Technologies
Diversity: Kelly Services
2006 Excellence Award Winners
Supplier of the Year: Trammel Crow
Quality: GE Plastics
Service: Taylor Nelson Sofres
Technology: MRM Partners Worldwide
Value: Milligan Events
2005 Excellence Award Winners
Supplier of the Year: JVC Disc America
Diversity: Grubb & Ellis Co.
Quality: Carlyle Inc
Service: Foxlink International Inc.
Technology: comScore SurveySite
Value: Philips Optical Storage
2004 Excellence Award Winners
Supplier of the Year: Delta Electronics Inc. Power System Business Group
Diversity: Dell
Quality: Level 3 Communications, Inc.
Service: Harte-Hanks Response Management
Technology: SurveySite Inc.
Value: Freeman Companies
2003 Excellence Award Winners
Supplier of the Year: Flextronics International Ltd.
Diversity: Compass Group and Thompson Hospitality
Quality: Arvato Services Inc.
Service: Excell Data Corp.
Technology: Toshiba America Information Systems
Value: Samsung Electronics Co. Ltd. (Optical Media Solutions Division)
Note Only MPSP premier and preferred suppliers in North America and selected regions are currently eligible for these awards.
