Hello, welcome to the 2025 SERVEONE MRO Process course
I'll be leading today's lecture on Partner Registration and Management
I\'m Jaeon Oh from the Office Supplies Team
This lecture will cover the topics in the following order: Mega Flow, Registration, Management, and FAQ
My goal is to help you gain a solid understanding of
partner sourcing and management, the most essential skills for any purchasing manager
Before we begin the lecture, let me riefly introduce myself
I joined SERVEONE in August 2018 as a member of the Office Electronics Team
and have been working in the same team ever since
Within the team, I’ve had the opportunity to handle a variety of categories,
and I’m currently responsible for printed materials and components
Since April 2024, I’ve also been serving as an employee representative,
doing my best to contribute to the company in any way I can
As for my hobbies, I enjoy trying new things every year,
always challenging myself with something different
I also enjoy playing instruments as well as listening to music
If any of you share the same interest,
I hope we can have some time to chat and share our thoughts freely
Alright, let’s move on to the main lecture
First, I’d like to give you an overview of the overall flow of the MRO process
This is an overview of the overall MRO process
The MRO process consists of the following stages: product registration, ordering, purchasing, delivery,
and finally, settlement
When a customer requests product information registration,
the request goes through the purchasing manager, sales manager, and product information manager
before the product gets registered
Then the customer can place an order,
which triggers a purchase order to the partner company
After the delivery is completed,
the process concludes with the final settlement
Among these stages, purchasing managers focus primarily on product information management
and especially on purchase information management
In the process of creating and managing purchase information,
each purchasing manager does partner registration, management, and purchase price registration and management
In this lecture, we’ll focus specifically on the part about
partner registration and management
Partner registration
The overall flow of the partner registration process is as follows
after the partner signs up and goes through a series of steps,
the process is completed through registration approval and activation approval
There are three main ways a partner can be registered
At the request of the customer’s sales manager, at the request of the partner company itself
and at the request of the purchasing manager
First, when the customer’s sales manager makes the request,
it usually involves cases such as new order setups or when the customer designates a specific partner company
Second, when the partner company submits the request,
it can be due to situations like business type conversion, mergers or acquisitions,
or a request for starting new transactions with our company
Lastly, there are cases where the purchasing manager
directly sources a new partner company
When a registration request is made for any of these reasons,
we first ask the partner company to sign up
After that, the process goes through potential partner pool management, registration review,
on-site evaluation, registration approval, activation approval
Then the partner registration process is finalized
Here is the detailed partner registration process
First, when a partner company applies for membership,
the purchasing manager goes to the Potential Partner Pool menu
and selects regular member, one-time partner, or new setup partner
When registering a partner in the potential pool, the partner’s business registration certificate
and financial statements are required documents
The purchasing manager must verify that the necessary documents have been properly attached
If there are any errors or missing files,
the purchasing manager should guide the partner so they can re-upload the correct documents themselves
You might wonder what full member partners
and one-time partners are
Full member partners are used in cases like regular registrations,
new setups,
and when multiple partners need to be registered at once for a new setup
In some purchasing tasks,
there may be one-time transactions
or cases expected to fail the evaluation
Partners registered in these situations are called one-time partners
One-time partners skip the on-site evaluation,
but 45 days after approval,
all related categories are blocked from transactions
So, additional orders are unavailable
If no evaluation is done,
the partnership automatically ends 6 months after approval
If a partner was once registered as one-time,
they cannot be registered as one-time again
A full-member conversion request must be made
Because we filter by business registration number,
duplicate registration is not allowed
To convert to a full member, you may need to process
basic contract signing, conversion request, on-site evaluation, and conversion approval
Next is the registration review process
The purchasing manager
reviews the partner’s info and documents
to either reject the registration or move forward to the on-site evaluation stage
They also check for supporting documents and any violations of compliance policies
before making a final decision
For customer sales requests,
documents like quotes, emails, new product screens,
or pre-shipment requests are needed
For partner-initiated requests,
materials like partner recruitment notices or business transfer agreements are required
Lastly, when the purchasing manager sources a new partner,
agency or distributor verification documents are needed
At this stage, the purchasing manager also finalizes the partner type
Let me briefly explain the partner types
Maker, primary distributors, agencies, and general distributors
We classify partners into these four categories
First, Maker's business type is "Manufacturing" on the registration
It produces items to be traded with SERVEONE
Next, primary distributor
They receive products directly from Maker
It acts as the first-tier official seller
Agency holds dealership rights through special agreements
General distributor has no special relationship with the Maker
Evaluation criteria and items differ by partner type,
which also affects future partner management,
so review them carefully
After deciding the partner type,
the on-site evaluation is conducted
Such as company size, financial status, logistics, and competitiveness,
this evaluation reviews various factors
The passing score depends on the partner type
Makers require 70 points, while all other types require 60 points
If a partner lacks any required documents,
they must be scored at the minimum points
If the on-site evaluation score does not meet the passing criteria,
exception registration may still be possible
There are three cases where exception registration is allowed
The first case is when registration is required because the customer designates a partner
In this case, the sales manager prepares a customer designation approval
You must provide proof issued by the customer’s purchasing or ordering department
Company name, item, business registration number, reason, date, author, and signature,
the document must include these 7 required items
The second case is sole-vendor registration for direct transactions with a Maker
If you must purchase directly from a specific manufacturer, or cannot buy from any other supplier,
which is sole-vendor case, an approval request must be prepared
The purchasing manager submits this request with the relevant contracts and supporting reports as proof
The third case is when the purchasing manager submits an approval request
based on a self-written recommendation letter
Once the on-site evaluation is complete, the registration approval process begins
After approval, the status changes to pending activation,
and the system automatically sends a partner ID email and a basic contract
The partner must then handle the subcontracting popup, choose the payment method,
and sign both the basic transaction contract and the payment agreement
Finally, the partner must create a purchasing card through the bank designated in the contract
Once all steps are completed, the activation approval is automatically submitted the next day
After the activation approval is finalized, the partner registration process is complete
So far, we’ve covered the steps for partner registration
Next, let’s look at how partner management
is actually handled in purchasing operations
First, let’s talk about the partner grading system
Since January 2022, our company has implemented this system
It was introduced to standardize partner operations
through a comprehensive evaluation process
and to strengthen our purchasing control
The evaluation is divided into three areas: quality, responsiveness, and profitability
For quality, we review audit results and the VOC rate
For responsiveness, we look at the on-time delivery rate and order rejection rate
For profitability, we evaluate two factors: the purchase price reduction rate and the profit margin
In the grading system, the weighting differs between general items
and sub-material items
This is because sub-material items
include the comprehensive quality evaluation in their scoring criteria
Currently, partners are classified into Poor, Standard, and Excellent tiers
Based on these grades, we apply incentives or penalties
to give purchasing managers more control
and encourage partners to improve their service quality
Next is the credit evaluation process
Currently, SERVEONE uses three agencies,
eCredible, Korea Evaluation Data, and NICE D&B, to collect credit information
and assess partner stability
As of the 2025 selection criteria,
major partners, those with over 100 million KRW in total transactions in 2024,
subcontracting partners, and partners rated C grade or lower in the 2024 credit evaluation
The credit evaluation is conducted twice a year
For the first half, we use the previous year’s financial statements
For the second half, we also include VAT reports
to ensure a more accurate assessment
Through the evaluation, we can review
credit analysis results, purchase and sales data,
credit limit status, grade changes,
and credit usage compared to sales
Based on this, we can check both the credit grade and the risk grade of each partner
Through the credit evaluation, both a credit grade and a risk grade are assigned
The credit grade is used to assess management stability,
while the risk grade evaluates insolvency risk
If the risk grade indicates a critical level,
it is impossible to continue trading
So the partnership may need to be terminated
For warning-level partners, reducing transactions or sourcing alternatives is required,
along with on-site inspections and a management action plan in advance
Lastly, for the observation level, you must check the cause and improvement measures for the partner
In other words, it’s necessary to take preventive safety measures in advance
This screen shows the Withus Pool credit evaluation system,
which provides services such as credit information lookup
We recommend using this service to support partner management
Next, let’s talk about partner transaction blocking and termination
Sometimes, the system blocks or terminates a partner
so they can no longer receive new orders
First, for transaction blocking,
partners that are closed or registered as one-time partners
are automatically blocked across all categories
If the closure date is before the current month, blocking happens immediately
If the closure is within the current month, blocking is applied at the end of that month
For one-time partners, 45 days after registration approval,
transactions are automatically blocked
If there are no purchase orders, the partnership moves directly to termination
If there are purchase orders, the partner remains blocked
until the partnership is terminated after 6 months
Additionally, partners can be manually blocked by the purchasing manager
or due to contract renewal issues
Once a partner is blocked,
their purchasing information is automatically set to “supply unavailable”,
and blocked categories cannot receive orders
If you need to lift the block,
you must obtain approval from your department head
Transaction termination is used when it is determined that further business is no longer possible
To terminate a partnership,
at least one category must already be blocked
Once terminated, the partner can no longer receive orders or process settlements
If a terminated partner needs to resume business,
a new on-site evaluation must be conducted,
followed by an approval request and department head approval to lift the termination
Lastly, let’s talk about the Elite Partner Program
The program’s goals are to
improve profitability, expand elite partners, stabilize operations,
and enhance efficiency
Through this program, we aim to secure not only profitability,
but also purchasing control and operational efficiency
Elite partners are reviewed monthly, quarterly, and annually for selection or removal
The selection criteria are based on three key factors
Importance, scalability, and competitiveness
These three factors are standards
For importance, the criteria include partners that are SSP or FBN partners,
handle multi-corporate transactions,
or have monthly purchases over 200M KRW
For scalability, it applies to partners focused 100% on four major standard product categories
with purchases over 10M KRW
For competitiveness, it targets partners that create shared materials, possess specialized technologies,
or have integrated synergy capabilities
Next, we’ve compiled some frequently asked questions
regarding partner registration and management
Q1. How do I change the partner manager?
In S-MRO, the primary purchasing manager
is set as the top buyer by category
To change this, go to
the Partner Manager Change Request menu in S-MRO
and request approval from the relevant Planning Team manager
Q2. What if a partner doesn’t have financial statements?
There are two common cases: business conversion and new company setup
For business conversion, attach the previous business registration certificate
along with the business transfer agreement
For newly established companies, you can substitute VAT reports,
a simple bookkeeping ledger, or a purchase/sales ledger
Q3. What if a partner wants to change its company name or representative name?
Ask the partner to update it directly via My Page on the SERVEONE site
In special cases, the purchasing manager
can also make changes directly through the Partner Information Change tab
Please keep this in mind
Q4. Why is a partner set to purchase hold, and how can it be released?
If a partner hasn’t logged in for 180 days or more,
their status is automatically set to purchase hold,
and they cannot log in to the portal
To lift the hold, go to Partner Information Change in S-MRO,
but only the partner manager can perform this
Q5. What if I get an alert saying
“No payment terms set for this year, cannot lift transaction block”?
In this case, the purchasing manager should go to Partner Information Change
and click Request Payment Terms Change
This prompts the partner to re-confirm and agree on the payment terms
If the partner says the popup doesn’t appear,
ask them to refer to
the Partner Mall Internet Setting Guide
That concludes today’s lecture
If you have any questions, please feel free to contact me anytime
Thank you