The intricacies of a supplier relationship can be challenging to navigate. Our latest whitepaper, Becoming Best in Class, highlights ways that your organization can get the most favorable contract possible. We explore three helpful tactics that can be utilized to secure beneficial supplier relationships, including separating the negotiator and relationship owner, helping the suppler save money and quickly carrying out a favorable contract offer. We’ll take a deeper look at helping the supplier save money. Your supplier will likely be more willing to accommodate if their efforts are being reciprocated.
Everyone wants to know, “What’s in it for me?” Ask your supplier how deliveries can be streamlined or what upcoming innovation they have in the pipeline. Maybe your organization can assist with initiatives the supplier is developing. In return, there could be bonuses or discounts in your favor for helping the supplier become more efficient. These topics should be discussed during the negotiation process (not after) to promote favorable contract terms.
There should be ongoing check points throughout the course of the contract. Optimal savings should always stay top of mind, for both parties involved. However, helping your supplier achieve their goals could add more profit to your bottom line rather than just acting in your own best interest. Furthermore, if your relationship with the supplier eventually dissolves, your organization will be poised to effectively negotiate with the next supplier. Find the value your supplier can offer for you but remember to offer them value as well.
Download our full Becoming Best in Class whitepaper today to gain additional insights for a successful supplier relationship.