Reducing costs that will have instant and lasting effects is crucial during these uncertain COVID-19 times of crisis where sales and turnover are under pressure in many companies. Even if your business is not suffering during this crisis you still can look for more opportunities to create greater cost savings, as you will have more levers to offer suppliers to gain reductions in return.
The future role of procurement will be to manage and collaborate with suppliers – not just cost savings. The reasons are many, but the key argument is that a narrow focus on cost-saving will actually cost you in the long run. Not many CFOs want to acknowledge this, but it is a fact that relationships matter when it comes to business, even for CFOs.
Electrocomponents is a global multi-channel distributor. They offer more than 500,000 industrial and electronics products, sourced from over 2,500 leading suppliers, and provide a wide range of value-added services to over one million customers. With operations in 32 countries, they ship more than 50,000 parcels a day.
Do you want to start a serious SRM program but don’t know how to convince your CFO/CEO about the investment needed? Then please continue reading.
Living in a highly client-oriented time where businesses mostly focus on maintaining and improving client relationships, you shouldn’t look down upon the significance of good supplier relationship management. A healthy business model will essentially benefit from solid and long-term supplier relationships. Read more
Being an essential aspect of any larger business, procurement comes with a number of responsibilities, complex tasks, and effective strategies. These include identification of buying needs, negotiation, vendor management, payment processing and the like.
When it comes to manufacturing, the right procurement processes can open doors to better cost management, risk reduction, stimulation of supplier innovation for higher competitive advantage, etc.
The necessity of rapid procurement processes increases continuously and the benefits of supplier relationship management software are getting more clear. It makes the implementation of Supplier Relationship Management Software a must since it helps to improve the processes between buyers and suppliers.
Supplier Relationship Management (SRM) techniques are strategic developments in businesses that are focused on optimizing and effectively manage the connections between third-party companies that supply goods and services to the business.
Many procurement leaders have asked us how to plan and implement an effective SRM program. In this article we will present five key steps to ensure an effective SRM program is implemented.
One of the main priorities of many businesses is to build long-lasting supplier relationship based on trust and loyalty. However, this can be achieved only through a well-structured Supplier Relationship Management (SRM) process, which will establish a win-win relationship for both sides.