Supplier relationship management (SRM) is one aspect of business that your company should have in place. As a business, you may be working with a handful of suppliers that provide you with raw materials or certain items. As much as possible, you have to establish good relationships with them, which can benefit you along the way.
Unfortunately, it’s easy for some companies to take their supplier management for granted. Naturally, their utmost focus is on establishing good relationships with customers only. What many fail to realise is how building great connections with suppliers can be impactful to their business as well.
That said, here are four benefits that you can take advantage of having solid relationships with your suppliers.
1. Quality materials and timely delivery
If you want to make a dent in attracting customers and have high returns, there are two aspects you shouldn’t neglect—the quality of your products and the turn-around-time of delivery. These two factors can be impacted significantly if your suppliers fail to do the needful. As much as possible, they have to provide you with the raw supplies on time, and these materials should be of good quality. If you build good connections with these suppliers, not only will they prioritise your goods, but they will also provide you with superior materials.
2. Seamless production
In line with getting quality materials on time, it’s easy for your production phase to kick off. If there are delays in the delivery of your needed supplies, your business operation can have downtime, which can severely affect your overall production. When you set out to establish good relationships with your supplier, you won’t have to experience all these delays and challenges. Your business will always have a smooth operation and overall production.
3. Customer satisfaction
With timely delivery of supplies and seamless production, what can you expect from your products and services? You can expect quality products and timely delivery of services as well. What does this mean to your customers? They will be happy campers as well, knowing that your business does deliver way above and beyond. You will be known as a company that values customer satisfaction. The supply may just be the initial step of your process, but it can have a ripple effect on your overall business success.
4. Help and support
What’s good about having solid relationships with your suppliers is the utmost support. Both parties no longer see each other as clients that need something from each other. You both realise that you are business partners and that your relationships with each other are crucial to each other’s success. Should there be challenges and problems along the way, you’ll be providing help and support for each other.
Conclusion
Many businesses tend to neglect supplier management. Know, however, that a good relationship with your suppliers is just as important as fostering good relationships with your customers. As outlined above, many benefits come from having solid relationships with your suppliers. All these valuable merits can contribute to the overall success of your business.
We specialise in online commodities, raw materials, and industrial supplies. If you are looking to have trusted suppliers and build good relationships with them, contact us today to see how we can help!