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Your suppliers are favoring big clients. How will you ensure your supply needs are met?

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In the competitive world of business, it's not uncommon for suppliers to prioritize larger clients who promise more substantial orders and consistent business. This can be a significant hurdle if your company relies on the same suppliers but can't match the volume of bigger players. The key to ensuring your supply needs are met lies in strategic administrative management. By understanding the dynamics at play and implementing a series of proactive measures, you can position your company to maintain a steady supply chain even when overshadowed by larger competitors.

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Samoual Hassan

Head of Administration Dal Food, PhD in Economics in National Strategic Planning Heavy Industry Companies, SP-Assoc…
Andrew D'Amico

Go Bills

1 Build Relationships

Building strong relationships with your suppliers is crucial. It's about more than just transactions; it's about creating a partnership. Regular communication, understanding your suppliers' challenges, and being a reliable customer can go a long way. When suppliers know you value the relationship and are working towards mutual benefits, they're more likely to go the extra mile for you. Remember, loyalty can often trump volume over time, so invest in these relationships.

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Andrew D'Amico

Go Bills
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Being honest and open about needs and expectations is huge, a friendly attitude and a willingness to negotiate and meet in the middle to serve both sides is key, we both want to fullfill customers needs. We both win in the end

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Samoual Hassan

Head of Administration Dal Food, PhD in Economics in National Strategic Planning Heavy Industry Companies, SP-Assoc. CIPD. Talks about #Leadership, #Strategicworkforceplanning, #ChangeManagement, #TalentDevelopment.
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In summary, building strong relationships with your suppliers is essential for any business that wants to achieve long-term success. By working together, you can improve product quality, reduce costs, enhance reliability, drive innovation, and mitigate risks.

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2 Diversify Sources

Don't put all your eggs in one basket. Diversifying your supplier base is a strategic move that reduces dependency on any single supplier who may favor larger clients. By having multiple sources for your materials or products, you create a competitive environment where suppliers are more inclined to meet your needs to retain your business. Additionally, this approach provides a safety net should one supplier fail to deliver.

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Samoual Hassan

Head of Administration Dal Food, PhD in Economics in National Strategic Planning Heavy Industry Companies, SP-Assoc. CIPD. Talks about #Leadership, #Strategicworkforceplanning, #ChangeManagement, #TalentDevelopment.
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Supplier diversification is the process of expanding the number of suppliers that a company uses for its raw materials or products. The goal of supplier diversification is to reduce the company's dependence on any one supplier, which can lead to better prices, improved quality, and increased innovation.

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3 Leverage Data

Use data to your advantage. By keeping meticulous records of your orders, lead times, and supplier performance, you can build a case for why your business is valuable, even if it's not the largest. This data can be used in negotiations to demonstrate your reliability and consistency as a customer, which are attractive qualities to a supplier. It's not just about the size of the order but the certainty and ease of doing business with you.

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Samoual Hassan

Head of Administration Dal Food, PhD in Economics in National Strategic Planning Heavy Industry Companies, SP-Assoc. CIPD. Talks about #Leadership, #Strategicworkforceplanning, #ChangeManagement, #TalentDevelopment.
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Optimising inventory management: By sharing information on demand patterns, production schedules, and lead times, stakeholders can align their inventory levels and avoid the bullwhip effect, lowering holding costs, minimising stockouts, and improving customer satisfaction by ensuring product availability.

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4 Negotiate Terms

Negotiating terms with suppliers is more art than science. Approach negotiations with a clear understanding of what you can offer and what you need. Be prepared to discuss volume commitments, payment terms, or other incentives that could make your business more attractive to suppliers. Effective negotiation can help ensure that your supply needs are met without having to match the purchasing power of bigger clients.

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Gurpreet Singh

Section Head Procurement
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1. Treat negotiations with suppliers as an art, requiring a clear understanding of your own offerings and needs. 2. Be ready to discuss aspects like volume commitments, payment terms, or incentives that can enhance your appeal to suppliers. 3. Skilled negotiation can secure your supply needs effectively, even without matching the purchasing power of larger clients.

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5 Monitor Performance

Monitoring supplier performance is essential to ensure that your needs are being met. Establish clear metrics and benchmarks for evaluating supplier reliability, quality, and responsiveness. Regularly review these metrics and provide feedback to your suppliers. If performance is slipping or if you're not receiving the attention you need, don't be afraid to address the issue directly or look for alternative suppliers.

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Samoual Hassan

Head of Administration Dal Food, PhD in Economics in National Strategic Planning Heavy Industry Companies, SP-Assoc. CIPD. Talks about #Leadership, #Strategicworkforceplanning, #ChangeManagement, #TalentDevelopment.
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Monitoring supplier performance can help identify potential supply chain disruption risks, allowing you to craft continuity plans that will minimize the effects of a potential supply chain disruption.

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Andrew D'Amico

Go Bills
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Scorecards is an easy way to take data and make it show how performance was done, on time delivered, quality, and so on, on one scorecard to be sent to supplier to show where improvements are needed and where they already have happened

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6 Plan Ahead

Lastly, planning ahead can make all the difference. Anticipate potential supply chain disruptions and have contingency plans in place. By forecasting your needs and communicating them to your suppliers well in advance, you can secure your position in their priority list. Early planning also gives you the flexibility to adjust orders and negotiate better terms before urgent needs arise, ensuring that your supply chain remains robust and responsive.

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Andrew D'Amico

Go Bills
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The best way to make sure needs are met is to forecast and prepare ahead of time if lead times can be a problem, however communication is key here, for all sides

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Administrative Management

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Your suppliers are favoring big clients. How will you ensure your supply needs are met?

1

2

3

4

5

6

1 Build Relationships

2 Diversify Sources

3 Leverage Data

4 Negotiate Terms

5 Monitor Performance

6 Plan Ahead

Administrative Management

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Your suppliers are favoring big clients. How will you ensure your supply needs are met?

1

2

3

4

5

6

1 Build Relationships

2 Diversify Sources

3 Leverage Data

4 Negotiate Terms

5 Monitor Performance

6 Plan Ahead

Administrative Management

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感谢您的反馈

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