How to Rate Your Suppliers and Shippers
These days business is more a collaboration than ever before. In a competitive business environment where speed is prized, understanding your needs and those of your suppliers and vendors is essential for a fruitful business relationship to go forward. So how to gauge this? You must have a system in place that focuses a spot light on possible partners, and protects you from trouble down the road. Don't forget, this process isn't just for hard goods vendors. If you are depending on a business for professional services or online services, the same system applies.
Evaluating your vendors or suppliers right from the start!
The most effective way to give your company the best shot possible at a great vendor/supplier relationship is to make sure you do your work in the beginning. Make the effort necessary to adequately vet a possible vendor or supplier, and search for possible red flags. Some of the questions you need answers to include:
- How long have they been in business?
- How many employees do they have?
- How well are they doing?
- Ask to speak to current and former customers, and if there is any hesitance, reconsider this choice.
- Who would you be working with, and what kind of guarantee is there that they'll come through for you?
- What happens when there is an emergency?
- How hungry are you for my business?
Make everyone accountable!
This vendor/supplier relationship needs to be productive for all concerned. For this reason, it's essential you put accountability systems in place to make certain everyone is doing their piece. Create solid performance parameters that clearly state what is expected, and adhere to them. Examine these criteria routinely, and don't let under-performance issues go undetected. Make sure you have a quality management system in place. Don't trust your business to anyone who lets the inmates run the asylum!
Don't be scared to cut ties!
If it all goes south, and it does from time to time, don't be reluctant to move on to another vendor or supplier. Give them an opportunity to correct things with a formal notice, but if it doesn't get fixed, move on. You can't afford not to!
