Moving beyond reporting incremental cost savings is something that we talk about a lot at Old St Labs. In fact, we think it’s the only way to negotiate the current environment of disruption and uncertainty that large organisations face.
About 18 months ago we developed the ‘Return on Relationships’ (ROR) concept and methodology and it seems to have resonated with a lot of you. It’s one of the most downloaded items on our site and is a frequent discussion point on our sales calls.
It’s for this reason that at the end of 2016 we decided to dig a little deeper into the topic and provide the next level of detail in this area.
If you missed our first paper on ROR, it’s probably wise to download it and start there. In short, ROR is a concept and structured business framework that highlights the path to unlocking value in your commercial relationships beyond trying to wring a few extra cost savings dollars out of your suppliers.
In order to achieve a ‘Return on Relationship’ organisations need to reimagine their old working habits. Relationships must move from combative to collaborative. To achieve more we need to work together and this challenge starts with a shared and in-depth understanding of what value means not only for ourselves but above all our customers, our stakeholders, our executives and our business partners.
Despite what the last blog you read said, there is no simple 5 step approach that leads to procurement delivering business value. It’s more complex than that. Every organisation is different both in terms of maturity and in its current ability to collaborate with suppliers. This paper will help you to get an understanding of where your organisation is today and suggest an improvement plan that will lead to tangible results.
What this paper provides.
- A discussion of current supplier engagement practices and where businesses have gone wrong in the past.
- A defined guide of the opportunities that collaborative supplier relationships can unlock for a business.
- A description of how suppliers can be leveraged by your business to future proof and prepare your firm for the coming disruptive forces.
- Details around how by reimagining traditional supplier relationships and shifting the focus away from ‘management’ and towards collaboration, organisations can increase benefits and decrease risks while at the same time increasing opportunities and decreasing costs.
So isn’t it time you moved the ‘value beyond savings’ narrative away from mere conference fodder and into an actionable reality in your business? If so download our Return on Relationships – A Deep Dive white paper now.