Procurated’s Post

How do you evaluate suppliers? Share your thoughts ⬇️ #mydailypitch

Learn to evaluate criteria for selecting reliable and trustworthy suppliers by understanding and following the key factors. https://ow.ly/6RLO50S4tqi #OrderFulfillment #Dropshipping #eCommerce #SupplierSelection

Many suppliers hung up on me until I cracked this technique that my senior used to onboard suppliers for lower volumes: 1. Present a Clear Value Proposition: Highlight how the partnership can grow with your expanding business. For instance, outline projected order increases as your business scales. 2. Emphasize Future Growth Potential: Share your business plan or market research to show how new product lines will boost order volumes. 3. Offer a Detailed Plan for Increasing Orders: Provide a clear, step-by-step plan for scaling orders, including specific targets for the next year. 4. Be Transparent About Current Limitations: Honestly address any current limitations, like small initial orders, while committing to future growth. 5. Highlight Your Commitment to Building a Partnership: Show dedication to a long-term relationship and flexibility with terms as volumes increase. 6. Personalize Communication: Tailor messages to address each supplier’s specific needs and preferences, such as payment terms or contract duration. 7. Follow Up Consistently: Maintain regular contact to build trust, discuss progress, and provide updates on your business growth. Let me know your thoughts on this in the comment section :) #suppliermanagement #partnershipbuilding #sourcing #effectivecommunication #valueproposition

What are the most effective ways to negotiate with suppliers and reduce costs? 1. Understand Needs:   - Clearly define requirements and priorities. 2. Market Research:   - Conduct thorough industry research for pricing benchmarks. 3. Build Relationships:   - Cultivate transparent relationships for collaboration. 4. Long-Term Contracts:   - Consider negotiating stable, long-term contracts. 5. Leverage Volume:   - Highlight business volume for better terms. 6. Bundle Purchases:   - Consolidate purchases for bundled deals. 7. Benchmarking:   - Compare supplier terms with industry benchmarks. 8. Alternative Suppliers:   - Demonstrate awareness of alternative options. 9. Value Focus:   - Consider overall value, not just price. 10. Negotiate Payment Terms:   - Seek favorable payment terms to enhance cash flow. 11. Performance Agreements:   - Tie pricing to specific performance metrics. 12. Market Awareness:   - Stay informed about market conditions. 13. Patience and Flexibility:   - Be patient and willing to compromise. 14. Win-Win Solutions:   - Aim for mutually beneficial outcomes. 15. Legal Clarity:   - Ensure clear contract terms to avoid disputes. #procurementexcellence #procurementtransformation #negotiation #Alambaar

best way to grow your relation with suppliers

Long term supplier relationships. We all build up relationships with those we work with over time the same can occur with suppliers. Things can become friendly. However, in the long term is this conducive in ensuring you receive value for money? Renewing agreements through habit, is not an effective way to do business and familiar supplier relationships will deter the majority from challenging them. Therefore it’s not surprising that there’s approximately a 50% probability that cost reductions are available with your current suppliers. How business savvy is your company? Or might they be stuck in a rut? #NLAR #Procurement #Suppliers  

Our Tutorial of the Month for March is a new flow chart that provides guidance for managing relationships with prospective suppliers. Download this flow chart so that you'll have it handy next time your unit is contacted by a prospective supplier: https://lnkd.in/gaKwsSTR #UPL #MichiganState

Long term supplier relationships. We all build up relationships with those we work with over time the same can occur with suppliers. Things can become friendly. However, in the long term is this conducive in ensuring you receive value for money? Renewing agreements through habit, is not an effective way to do business and familiar supplier relationships will deter the majority from challenging them. Therefore it’s not surprising that there’s approximately a 50% probability that cost reductions are available with your current suppliers. How business savvy is your company? Or might they be stuck in a rut? #NLAR #Procurement #Suppliers

What is a contract calendar? For suppliers, a contract calendar helps provide advanced notice of when specific contract categories are open for review. For members, the calendar ensures they receive the best possible pricing from vendors. How is this achieved? Suppliers that fall into one of the categories are able to review the calendar and submit proposals in their specified timeframe, after which submissions are reviewed and finalized. View the newly opened categories and learn more: https://bit.ly/3T4Pd7A

What are the most effective ways to negotiate with suppliers and reduce costs? 1. Understand Needs: - Clearly define requirements and priorities. 2. Market Research: - Conduct thorough industry research for pricing benchmarks. 3. Build Relationships: - Cultivate transparent relationships for collaboration. 4. Long-Term Contracts: - Consider negotiating stable, long-term contracts. 5. Leverage Volume: - Highlight business volume for better terms. 6. Bundle Purchases: - Consolidate purchases for bundled deals. 7. Benchmarking: - Compare supplier terms with industry benchmarks. 8. Alternative Suppliers: - Demonstrate awareness of alternative options. 9. Value Focus: - Consider overall value, not just price. 10. Negotiate Payment Terms: - Seek favorable payment terms to enhance cash flow. 11. Performance Agreements: - Tie pricing to specific performance metrics. 12. Market Awareness: - Stay informed about market conditions. 13. Patience and Flexibility: - Be patient and willing to compromise. 14. Win-Win Solutions: - Aim for mutually beneficial outcomes. 15. Legal Clarity: - Ensure clear contract terms to avoid disputes.