The IT procurement industry is full of its share of headaches. Don’t succumb to the Top 4 Procurement Myths.
Myth #1: Business’ need multiple IT suppliers to reduce costs
This is the most common misconception. Often businesses adhere to a three quote criteria rule when sourcing IT procurement. This will ensure they are getting the best price possible from a range of suppliers?
Highly unlikely. If a business selects a sole IT supplier, this leverages the supplier to access preferential pricing from various different vendors. Ultimately, cutting costs for your business. And saving you time…and more money!
Myth #2: IT Procurement suppliers do not communicate properly
The main reason for businesses changing suppliers isn’t price. It is lack of service. The key to a good service is communication.
You need Account Managers who are ‘open’ and communicate effectively to ensure an effective working relationship. Importantly you need regular updates on all projects throughout your buying journey.
Myth #3: There is a lack of supply chain visibility
What many businesses lack, when it comes to gaining better supply chain visibility, is a system to measure vendor performance and reliability.
Poor visibility of the supply chain prevents you from understanding risks, making improvements and improving decision making processes. It’s crucial you use a supplier with proven processes in place to provide you with visibility from initial enquiry to delivery.
Myth #4: It’s always a challenge to access accurate product information
It shouldn’t be. Access to key information is vital for customers, information including: product names and descriptions; supplier codes and buyer codes; pricing information; and supplier and product availability
Make sure your supplier offers a dedicated Account Manager to ensure you get all the relevant information. This ensures that surprises are kept to a minimum.
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