Which Capability Area involves maintaining and updating supplier agreements?

The Capability Area that involves maintaining and updating supplier agreements is Selecting and Managing Suppliers. This area focuses on the processes and actions necessary for effectively collaborating with suppliers to ensure that their services and products align with the organizational needs. It emphasizes the importance of establishing clear agreements that define responsibilities, performance expectations, and terms of service. Regularly updating these agreements is crucial for maintaining good relationships and ensuring compliance with evolving business requirements and quality standards.

This Capability Area encompasses activities such as evaluating potential suppliers, negotiating terms, and continuously managing the supplier relationship. By keeping agreements up to date, organizations can mitigate risks, adapt to changes in the market or regulations, and leverage supplier capabilities more effectively. Such proactive management also fosters a more resilient business environment, as organizations work closely with suppliers to navigate challenges collaboratively.