Supplier management is something that many companies overlook. Customer satisfaction is the natural focus for businesses, but it's not the only relationship you should be cultivating, as it is also critical to have a good relationship with your suppliers. supplier relationship management is a domain in which all companies can excel because it has far-reaching implications.
Supplier Relationship Management (SRM)
Supply chain resiliency took on a new meaning in 2020. In the first few months of the pandemic, suppliers and procurement teams alike were left scrambling, desperately trying to maintain business continuity. The situation called for unprecedented levels of collaboration and visibility, which many organizations were not able to meet.
The COVID-19 pandemic created a crisis of epic proportions and left leaders in every industry scrambling to react. Procurement leaders across the globe saw the weakness in their supply chains and needed to reinvent their ability to manage the data in order to make critical decisions. In fact, according to a recent survey by the Institute for Supply Management, upwards of 75% of companies saw supply chain disruptions in the wake of COVID-19.
I recently attended a conference hosted by a supplier that dedicated the entire day to customer feedback on the supplier’s technology offerings and overall services. While many sessions like this take place all over the world, specific nuances about this conference stood out to me.
It is becoming increasingly difficult to determine the size and capabilities in the marketplace to understand where to source products and services for your stakeholders.
Supplier Relationship Management (SRM) is all the rage and for a good reason. Far too many “strategic” contracts have been developed (especially outsourcing contracts) that do not include sound SRM practices.
It’s good to see that virtually all of the major advisory firms are now incorporating solid governance frameworks into their contracts. Software companies are also making inroads, such as Old St Labs and SirionLabs