Supplier Relationship with the Clients

Supplier Relationship with the Clients

Question 1. List and discuss three strategies that an organization can pursue to create a positive relationship with suppliers.

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An organization can create a positive relationship with suppliers by building strong relationship pillars. The most important is trust. When a supplier delivers products, the company should be in a position to fulfil their end of the deal. The company has to ensure that the supplier can rely on them to always make payments in time. They have to be in constant communication to ensure that any time there is a problem, both parties are aware. The second strategy is to be aware that the supplier is in business with other companies. Acknowledging this fact ensures that the company gives the supplier an easy time so that they have time to attend to other clients. The company cannot prevent the supplier from dealing with other clients. A third strategy a company can apply is to ensure they understand how the supplier wants to operate with them. This means that they should get what the supplier needs done in order to have them supply the products in time. The supplier has to want to be in business with the company for more than money which is up to the company to achieve that desire in the supplier.

Question 2. Briefly discuss how the Supply Chain Management Maturity Model presented by author Thomas Schoefeldt can be applied as a value adding dimension in managing the quality of supplier relationships.

The value adding dimension by this Supply Chain Management Maturity Model can be applied in managing the quality of supplier relationships. The relationship the supplier builds with customers is very important in the direction the business eventually takes. If the supplier and the customer have a good relationship, there is likely going to be more business and revenue for the supplier. The supplier model at level one limits the access that the customer has to the client and locks out many chances of increasing business as different sections of the company fail to compare notes. The departments at level two are better connected and team work is key. This means that the supplies department works together to attend to the needs of the client to their satisfaction. At the third level of the model, the connection of the departments is different from the one at level two. Two organizations work together to benefit mutually. The integration of the organizations adds value because integrations open up avenues of sharing notes and improving on the weak points of business relationships. Clients are able to tell what they want improved about the supplies and get feedback faster with the integration of departments in the relationships. The organization should always strive to ensure that the relationships are maintained by keeping the communication channels open.

Question 3. Based on the presentation by author Thomas Schoenfeldt in chapter 7, what considerations will you want to be sensitive to in dealing with international suppliers? What strategies will you want to use in making these international relationships most advantageous for your organization and for your international suppliers?

When handling international suppliers, it is important to ensure that the company has people on the ground who understand the different cultures of international suppliers. The culture is the basis for further building of meaningful relationships and business partnerships globally. For instance, it is important for the companies to take into consideration how the suppliers operate their businesses. The cultural setting of the suppliers determines how seriously they take the business relationship with the company. A company that shows no concern for the value of an individual’s esteem is unlikely to have a good relationship with the Asian based suppliers. They value their jobs and performances personally. A negative review of their work or products is seen as a personal review towards their person. A company that understands this dimension of the supplier will have to device a method of ensuring that they get the best without offending the supplier.

In dealing with a supplier from Asia, it would be prudent to find means of communication dissatisfaction positively in order to ensure that the will to have a relationship with the suppliers is evident. The Asians will always appreciate feedback that would mean more revenue for them and superiority of their products. This means that giving them feedback that enables them to have an edge over their competitors would work.  The Asians would be grateful for information that makes them better suppliers as opposed to stopping the business and moving on to a different supplier without telling the previous one what was not satisfactory. The most important factor in being in business with international suppliers is understanding the culture of the suppliers.

While handling international suppliers means that the company would have to understand what the culture of the supplier considers polite and professional. In an effort to ensure that the two sides of the business benefit, the supplier has to have confidence in the company. International suppliers appreciate efforts of the company to respect their cultures and beliefs. It is inevitable for the company to ensure that the supplier is comfortable doing business. It is important to have the right personnel to handle international relations to ensure that international suppliers are making profits. The language people use in the interaction is important. For a company it would be a lot better if they hired a person who understands the language spoken by the international supplier. This eases pressure on the supplier and makes them more comfortable offering their supplies to the company.

In dealing with international suppliers, the market dynamics are usually different. A company would be better off understanding how the market operates in the international supplier’s country. By so doing, they understand what they need to do to ensure that they can effectively conduct business with them. Customs operate differently internationally. When a supplier is international, it would slow down business if the two business entities do not understand each other. It is, therefore, inevitable that the company understands how the supplier’s government functions in relation to its own. This would ensure that both the company and the supplier are likely to benefit from such an understanding.

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