Approaching it as more a means of cost reduction than developing mutually beneficial relationships
Having a strategy that lacks clear success metrics
Working with a lack of supplier diversity
Carrying too much inventory to address potential supply disruptions
Changing sources of supply and burdensome supplier rationalization
Having inconsistent supplier sourcing and onboarding processes
Establishing excessive premium freight charges to meet customer delivery expectations
Inhibiting ability to accurately track and trace purchase orders, shipments, receipts and invoices
Mismanaging documents and accruing processing errors, leading to slow cycle times
Having inefficient procurement workflow and processing, causing unproductive supplier relationships
Creating a dynamic in which buyers spend too much time fighting fires and addressing unexpected supply disruptions
So How Can ANH Pharma Make All These Challenges Easy
Reduced costs: Creating and maintaining an effective strategy with each supplier that is valuable for both parties inevitably lead to cost savings, as well as a reduction in delays, quality issues, availability challenges, etc.
Less price volatility: When you have a good, healthy relationship with a supplier, you can work together to minimize commodity prices, exchanging fixed prices for a longer contract term, for example. Reducing price fluctuations establishes better trust with consumers.
Increased efficiency: As with any kind of relationship, having a good relationship with suppliers leads to better communication, understanding and ability to work together to achieve the best outcome for both.
Outsourcing:When you trust a supplier, you can transfer to them time-consuming activities like managing inventory levels or certain aspects of customer service.
Supplier consolidation:: When you and a supplier work well together, you better understand what the other needs to operate efficiently and can work to accommodate. This streamlines supply chain processes and can sometimes lead to reducing the number of suppliers you need to work with – resulting in increased buying power.
Ongoing improvements: Teamwork between both parties allows for the feedback to continuously optimize factors that make both of you happier and more profitable.1
