Procurement Magazine explores the potential profitability of close buyer and supplier collaboration – IF they can be achieved .
PROCUREMENT STRATEGY
Procurement Magazine explores the potential profitability of close buyer and supplier collaboration – IF they can be achieved .
WRITTEN BY : OLIVER JAMES FREEMAN FRSA
You probably already know that procurement is a tough gig . In an ideal business world , wouldn ’ t it be great if a procurement professional could just focus on finding the best bargains on the market for the products and services that they purchase before handing over the reins to another department ? Yes , I reckon so . Procurement aficionados probably do too . Perhaps , once upon a time , that was the status quo ; nowadays , though , there are limits to the value that somebody can generate by focusing solely on the final price on their shopping list .
These days , companies that feature advanced procurement functions know that they need to spice it up if they want to stay on top of the competition . These organisations know that if the company chooses to collaborate and cooperate with its suppliers , both parties can usually come out of the exchange with lucrative new sources of value .
It makes sense , doesn ’ t it ? Suppose a company ’ s customer base is calling out for a specific product , but it cannot provide exactly what they need . There ’ s scope for direct collaboration between buyers and suppliers to innovate the solution – profit for both the company and supplier and a happy consumer who will return for future business . procurementmag . com 45