The official ITIL V4 Foundation guidance defines the purpose of the supplier management practice as ensuring that an organization's suppliers and their performances are managed appropriately. This management is crucial for supporting the seamless provision of quality products and services. The term 'performances' encompasses all aspects of the supplier's contribution, including meeting agreed-upon targets for quality, timeliness, and cost, as outlined in contracts and service level agreements.

A. costs: While managing costs is an important aspect of supplier management, 'performances' is the broader and officially stated term that includes cost, quality, and other metrics.

B. users: Suppliers provide services to the organization, which then delivers them to its users. Suppliers do not have 'users' in the context of this practice's purpose.

C. value: Although suppliers contribute to value co-creation, the practice focuses on managing their tangible 'performances' to achieve that value, making it the more precise term.

1. AXELOS. (2019). ITIL® Foundation: ITIL 4 Edition. TSO (The Stationery Office).

Section 5.2.17

"Supplier management": The purpose statement is explicitly defined as: "The purpose of the supplier management practice is to ensure that the organization’s suppliers and their performances are managed appropriately to support the seamless provision of quality products and services." (p. 119)