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How can you negotiate with suppliers who have a history of missed deadlines?

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As a small business owner, you know how important it is to have reliable and timely suppliers for your products or services. But what if your suppliers have a history of missed deadlines, poor quality, or inconsistent communication? How can you negotiate with them to improve your relationship and avoid losing customers or money?

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Renato Donizeti da Silva - CRC Ativo - Contador / Especialista Contábil / Controladoria / Gerente

Contador | Accountant | Controladoria |Controllership | Surpervisor | Coordenador | Gerente Contábil | Contabilista |…
Charlotte Howard Collins

??Helping 1M+ Ambitious Women Scale to 7 Figures+, Build Wealth & Create Legacies with AI, Publishing & Automation |…
Gary Vurnum

I help experienced business owners simplify their focus, optimise what works, and amplify their results - achieving…

1 Identify the root cause

The first step to negotiate with suppliers who have a history of missed deadlines is to understand why they are failing to meet your expectations. Is it because of external factors, such as supply chain disruptions, labor shortages, or natural disasters? Or is it because of internal issues, such as poor management, lack of resources, or low motivation? By asking your suppliers about the root cause of their problems, you can show them that you care about their situation and that you want to find a solution that works for both parties.

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Renato Donizeti da Silva - CRC Ativo - Contador / Especialista Contábil / Controladoria / Gerente

Contador | Accountant | Controladoria |Controllership | Surpervisor | Coordenador | Gerente Contábil | Contabilista | Finan?as | Especialista | Administra??o Contabilidade Fiscal Tributario | Gest?o Contábil l FP&A
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Identificar a causa raiz dos problemas de prazos perdidos com fornecedores envolve uma abordagem proativa. Realize reuni?es regulares para discutir desafios, analise relatórios de desempenho, investigue possíveis obstáculos operacionais e explore dados históricos de entregas. Ao demonstrar interesse genuíno e colaborar na solu??o, você fortalece a parceria e cria oportunidades para melhorias significativas.

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2 Set clear and realistic expectations

The next step to negotiate with suppliers who have a history of missed deadlines is to set clear and realistic expectations for your future orders. You should communicate your needs and priorities, such as delivery dates, quality standards, payment terms, and penalties for non-compliance. You should also ask your suppliers to provide you with regular updates, feedback, and confirmation of their progress. By setting clear and realistic expectations, you can avoid misunderstandings, confusion, and frustration, and hold your suppliers accountable for their performance.

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Renato Donizeti da Silva - CRC Ativo - Contador / Especialista Contábil / Controladoria / Gerente

Contador | Accountant | Controladoria |Controllership | Surpervisor | Coordenador | Gerente Contábil | Contabilista | Finan?as | Especialista | Administra??o Contabilidade Fiscal Tributario | Gest?o Contábil l FP&A
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Para estabelecer expectativas claras, documente os requisitos detalhados em contratos ou acordos formais. Especifique prazos, padr?es de qualidade, condi??es de pagamento e penalidades por n?o conformidade. Realize reuni?es para discutir esses termos, assegurando que ambos os lados compreendam e concordem. Estabele?a canais de comunica??o eficientes para atualiza??es regulares e feedback. A transparência desde o início cria um entendimento mútuo, reduzindo potenciais conflitos.

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3 Offer incentives and support

The third step to negotiate with suppliers who have a history of missed deadlines is to offer incentives and support to encourage them to improve their service. You can offer incentives such as discounts, bonuses, referrals, or long-term contracts if they meet or exceed your expectations. You can also offer support such as flexibility, feedback, training, or resources if they need help to overcome their challenges. By offering incentives and support, you can build trust, loyalty, and mutual benefit with your suppliers, and motivate them to deliver on time and with quality.

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4 Monitor and evaluate the results

The final step to negotiate with suppliers who have a history of missed deadlines is to monitor and evaluate the results of your negotiation. You should track and measure the performance of your suppliers, such as delivery time, quality, communication, and customer satisfaction. You should also provide them with constructive feedback, recognition, and suggestions for improvement. If your suppliers show positive changes, you should continue to work with them and strengthen your relationship. If your suppliers show no or negative changes, you should consider finding alternative suppliers or taking legal action.

Negotiating with suppliers who have a history of missed deadlines can be challenging, but not impossible. By following these four steps, you can improve your relationship with your suppliers, and ensure that your small business gets the best value and service from them.

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5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Charlotte Howard Collins

??Helping 1M+ Ambitious Women Scale to 7 Figures+, Build Wealth & Create Legacies with AI, Publishing & Automation | $100M+ in Client Revenue | 5,000+ Bestselling Books & Magazines | Speaker??
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When negotiating with suppliers who have a history of missed deadlines, consider the following tips: Consider offering positive incentives for timely deliveries. This could be discounts, extended contracts, or increased order volumes for consistently meeting deadlines. 1. Schedule regular performance reviews to assess the supplier's adherence to timelines. Discuss any challenges they may be facing and collaborate on solutions to prevent future delays. 2. Foster a collaborative and solution-oriented relationship with your supplier. Working together as partners encourages a shared commitment to meeting deadlines and resolving challenges. Remember, successful negotiations involve finding a balance that satisfies both parties.

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Gary Vurnum

I help experienced business owners simplify their focus, optimise what works, and amplify their results - achieving sustainable growth without added costs or effort.
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Ideally, you want to be in a position where your suppliers are handled in such a way that, even if they miss a deadline - that they do not continue to do so. Often - as a small business - it's easy to be at the mercy of larger suppliers. However - there are very few excuses these days to ONLY be tied to one specific supplier. Always have a back-up plan! Thanks to the Internet and the cost of overseas services, sometimes it can be as cost-effective to look further afield for your suppliers. Make it a regular task to look at the 'quality' of your current suppliers and to be aware of their competitors. Very few companies exist in a vacuum - and your suppliers are no exception!

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How can you negotiate with suppliers who have a history of missed deadlines?

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2

3

4

5

1 Identify the root cause

2 Set clear and realistic expectations

3 Offer incentives and support

4 Monitor and evaluate the results

5 Here’s what else to consider

Small Business

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How can you negotiate with suppliers who have a history of missed deadlines?

1

2

3

4

5

1 Identify the root cause

2 Set clear and realistic expectations

3 Offer incentives and support

4 Monitor and evaluate the results

5 Here’s what else to consider

Small Business

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感谢您的反馈

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