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 Collaborative Supply Chain   Trading Relationships

Managing service suppliers

Adopting a proven method for managing suppliers is crucial if the customer is to have a major influence on the outcome of a contract, writes David Wootton of Per Pro.

All too often, companies believe that they receive poor service from their suppliers. Frequently, they feel exploited and react in a defensive or aggressive manner, plunging the customer/supplier relationship into an accelerating downward spiral. The challenge for customers is to recognise that they can influence the outcome of a contract by adopting a different style from the outset.

Rather than adopting a ‘squeeze the supplier’ mentality, they need to take a fresh approach and explore new ways to integrate more effectively with their suppliers if they are to engineer a win/win situation.

The challenge is to recognise that there is a wide range of customers and a huge diversity of suppliers. Finding a successful combination is a complicated process.

To simplify the debate, we have identified two styles of buyer and two styles of customer. Clearly, in business it is not so simple. However, the underlying principles can be extended to encompass additional factors.

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International Consultants' Guide September 2001
Copyright © 2001 Prime Marketing Publications