It’s amazing how many suppliers it can take to keep a business running smoothly. Whether you’re a retailer or a manufacturer, your supplier database could be enormous despite your best efforts to keep things compact.
Reviewing your suppliers, doing cost comparisons, and negotiating for better service or prices could be a mammoth task. As a result, it’s best to cherry-pick the most important ones instead of running through the whole list. Here’s how to go about it.
1. Look at the Amount You’re Spending
Although choosing the suppliers you spend the most money with for regular reviews seems obvious, there’s a less obvious angle too. If you’re a big spender with your supplier, you have more bargaining power, and that means that you stand a better chance of maintaining a relationship even if you’d like to see some changes.
For example, if you're in Fort Lauderdale and your couriers are getting a lot of revenue from your business, it makes sense to shop around and see what other Fort Lauderdale couriers have to offer. If you think it’s a better deal, your current couriers will have to match it or else risk losing your support.
Source: https://www.entrepreneurshipsecret.com/reviewing-your-suppliers/