The traditional business mentality has been that suppliers need customers, and they will do just about anything to keep their existing business. But what happens when a supplier becomes misaligned with the customer and realizes that the business relationship is not in their best interest. What happens when the supplier becomes ‘business sustainability smart’?
“Suppliers are getting smarter—they realize that overall spend is not necessarily the best way to determine who their top customers are, and this opens the door to more competition for their scarce resources. This growing competition for supplier attention and resources places new pressure on Procurement to be the buyer of choice.” –CEB Views
Further exploring this concept, our sustainability consulting leverages the Strategic Sourceror post, Negotiation No Longer the Most Important Skill for Purchasing and Supply Chain Managers. Examining the results from a survey of 2,500 purchasing and supply management professionals from around the world, the article focuses on the evolving skills requires of today’s procurement professionals. With sourcing and supplier selection topping the list, alignment seems to hold the key to sustainable supply chain success.
“Understanding a shifting marketplace and being able to shift procurement strategies is critical to any business and procurement professional who wishes to continue to drive savings from their supply chains. The results for this survey conclude that savings go up when procurement personnel are adequately trained.”
Our sustainability consulting stresses the need to have comprehensive business sustainability strategies in place to address holistic environmental, social and economic impacts. In order to implement this new business plan, a company must to have the right resources with the right skills in place.