What do you do if a vendor's feedback threatens your collaborative relationship?

Vendor relationship and collaboration are both strategic to business and hence needs to be resolved no sooner there is a stalemate. One should understand the key issue of dispute which generally arises out of behavioural issue of the teams and techno commercial issues. Behavioural issue can be resolved thro” reiterating the core value of “ respect” for everyone and 100% intolerance to non compliance. Techno-commercial issue can be resolved thro discussions and agreeing to a SOP for deviations and should cover commercial revisions if any. If the vendor believes in mutual growth story out of the association there is little chance that he won’t back the relationship. One can agree for a governance schedule for sorting out differences.

I would contact the vendor to see if the issue can be resolved. Most of the time issue is a miscommunication or misunderstanding of a situation.

If vendor feedback threatens collaboration, address concerns promptly and professionally. Listen attentively, acknowledge their perspective, and seek to understand underlying issues. Communicate openly, offer solutions, and emphasize mutual goals. Reaffirm commitment to the partnership's success. Implement corrective actions if necessary. Preserve trust by demonstrating responsiveness, accountability, and a willingness to resolve conflicts constructively.

Initiate a dialogue to understand the root cause of the issue and explore potential solutions together. Emphasize the importance of maintaining a positive and collaborative relationship and reassure the vendor of your commitment to resolving any issues. Open communication and a willingness to work together to find mutually beneficial solutions are key in preserving the collaborative relationship.

When a vendor threatens the collaborative relationship, it's essential to promptly evaluate the situation's potential impact across operational, financial, reputational, and legal/compliance aspects. This includes analyzing how disruptions could affect supply chains, production schedules, and service delivery, as well as assessing potential cost increases, penalties, or reputational damage. Exploring alternative options and considering long-term implications are crucial in determining the best course of action to mitigate risks and maintain business continuity.

Once you’ve determined the content, as well as the context, you initiate an open dialogue with the vendor to understand their perspective. This can be done by listening to the vendor carefully, and attentively to grasp their concerns clearly.

communicate openly with the vendor, acknowledging their concerns and discussing potential solutions. Maintaining transparency and professionalism can help navigate the situation while preserving the collaborative relationship.

Una vez que se tiene el feedback externo, hay que escuchar también internamente a los expertos para poder construir las soluciones optimas para todos

One thing I have found helpful is by reflecting internally on the concerns raised by the vendor. I do so by seeking input from teammates clearly understand any other issues from the vendor. This is done to clear any misunderstanding.

Points need to be considered : 1- Financial : If there is any over credited payment of the vendor, the purchaser need to rise the issue with the respective finance department of the company for timely payment to re-instate the trust of the vendor. 2- Lack of Coordination : Lack coordination between the vendor and the procurement team of the company sometimes lead to unreturned losses for both. Therefore, timely and properly scheduled meetings with vendors regarding the material that are procured must be followed strictly to avoid the gap of communication between vendor and procurement team of the company. Moreover, legal and contractual agreements should be quarterly negotiated as per the prevailing situation with the passage of time.

While offering solutions, layout the timeline and a responsibility matrix to maintain transparency and avoid further conflicts. Furthermore, create a schedule to check-in on the progress, review the quality of the outcomes and address the differences (if any). This will ensure that all the stakeholders are aligned throughout the journey. Doing this will not only result in stronger partnerships, but also foster mutual respect.

Offering solutions is one of the viable options to understand and resolve any issues. The whole crux here is to build relations and work in harmony. Hence, solutions can be offered by understanding difficulties on each side and settling down on a mutual benefit. Vendor relationship management is of prime importance for a business to strive and succeed.

Cada que recibimos feedback escucharemos cosas que: no sabíamos, no queremos reconocer, no podemos o queremos cambiar, nos duele escucharlas, etc. NADA se puede tomar de forma personal ni analizar con el estómago, si es necesario, toma distancia, reflexiona y podrás encontrar las alternativas que ese feedback está buscando

Agree with the above discussions/ points. In my state, informal hearings among all the stakeholders/parties were helpful. It was our job to determine that vendors met the stipulations in our laws/ regs of “ responsible and responsive” bidders. Their financial/bonding/ bidding/ capabilities show responsibility, their performance under contract show their responsiveness to our specifications. At times, if conflicts would arise among the vendors and affected departments, after working out the concerns through the hearing, sometimes a change in our personnel overseeing the work could be warranted, or the contractor could place a different foreman or supervisor in that role, to help the project move positively forward to completion.

If you get to that point, it is clear that the vendor is just that a vendor. For this not to happen the vendor needs to understand your culture, your values and your ethics. Enough open engagement should also give the vendor the confidence to approach you, mitigating the risk of this happening. Regular check-ins and engagements is time consuming, but when the vendor feels like part of the company, they will be invaluable.