This blogpost about Supplier Partnership is written by Fredrik Olsson, Head of Sourcing & Vendor Management at Schibsted.

Background

“This week, I attended a dinner with other sourcing heads, and not surprising, we share many common challenges.

One thing we all agree on is that close cooperation with suppliers is essential if we want to be successful. So, what does it take to achieve these closer, more productive partnerships? For those of you who are suppliers and are looking to establish closer partnerships with your customers, here are my four key points to consider:

4 tips for Supplier partnerships

1. Real Commitment to Mutual Benefits: Ensure that your goals and objectives are geared towards mutual benefits. For example, if your goal/objective is to grow the account with X percent, you put yourself before the customer, hence the mutual benefits are down prioritized. Instead, focus on goals that drive your customer’s sales growth, thereby boosting your company’s revenue. That’s a true win-win scenario. 

2. A Long-Term Perspective: Buying companies typically work with a multi-year focus when selecting and working with suppliers. Too many salespeople have focused on the annual sales or even worse the next quarter. There has to be a more long-term focus to be able to work well together. 

3. Competence: If something is simple, then we really do not need the suppliers’ expertise. So, when we need the customer’s expertise, the problem is most likely complex.  This doesn’t mean that every account manager has to be an expert, but you should ensure that the relevant expertise is accessible when needed.

4. Building Trust: Working closely together also means opening up to the supplier. When you do that, you need to be sure that the supplier has no bad intentions. Hence you need to trust the supplier – and vice versa. Building trust takes time and effort. I want an account manager to actually have trust in the agenda and have a plan for it.

Question extend to suppliers.

Now, the question also extends to the suppliers: What do you need from your customers to enhance your ability to serve them better? I know that I as a buyer always need to improve and I would be happy to hear from a seller, what they typically as improvement points.”

Follow Fredrik Olsson

Follow Fredrik Olsson at LinkedIn and learn more about Supplier Partnership.

Why not get an Introduction to Procurement Management in LHTS online course? As businesses grow and evolve, the pivotal role of procurement becomes increasingly apparent. The seamless integration of strategies, tools, and people is essential to achieve operational excellence in procurement. This course will guide you through the intricate landscape of procurement, delving deep into its three foundational perspectives: Category Management, PMT (Processes, Methods, and Workflows), and Organization & Roles.

Whether you are a seasoned procurement professional seeking to refine your expertise or a novice eager to grasp the fundamentals, this course promises a comprehensive exploration of how strategic objectives shape and influence procurement decisions. . By the end of this course, you will be equipped with the basic knowledge on managing companies procurement functions towards success and strategic alignment. Join us on this enlightening journey and redefine your approach to procurement management.

Learn about Supplier development from EFFSO. A part of a tactical buyer role is executing a supplier development program. But how do you align the program with your company’s strategy? How do you focus the program on your key development areas? How do you even get started? Answer to these questions are key to your success and are answered in this introduction course.

Note: Illustration of the blogpost “Achieving Supplier Partnership” is profile image of Fredrik Olsson