Contract Management: Contractor Supplier Strategy

Contractor-Supplier demand and compliance management analysis is moving up the value chain. Organisations now need to adhere to external best practices with a vision and strategy, as well as 1-3-5 year implementation plans. Having a Contractor Supplier Strategy has become vital to the success and smooth running of a project. Moreover, companies need to ensure alignment with the overall business Strategy Commercial intelligence and corporate social responsibility when it comes to managing suppliers and contractors efficiently. Performance measurement & value reporting plays a key role in effectively managing these relationships. 

Relationships That Deliver

Our project experience shows that having a properly integrated Contractor Supplier Strategy alongside effective Contractor relationships deliver real and tangible benefits, with measurable savings up to 20% of total costs.

The Challenge

Effective sourcing is now recognized as a core business requirement which can deliver real advantages. However, many organisations are struggling to capitalize on their full strategic sourcing potential. Failing to release business savings and track performance improvements, under delivery of expected sourcing strategy benefits, buyer and supplier strategies unaligned at corporate level are in line with contract costs rising at business level, such as capacity, overheads and short term orders.

The Benefits

Organisations with a properly aligned Contractor Supplier Strategy typically achieve:

  • Better understanding of both businesses
  • More control over the joint cost drivers
  • Improved performance at the right pace
  • Reduced joint costs
  • Higher leveraging of innovation
  • Reduction in risk and compliance

Our Approach

We work with an organisation to understand their business challenges, assess their readiness to partner, and help them focus on those suppliers who will be key to beneficial transformation. Embedding a philosophy of constant improvement throughout the implementation and operation of a project, alongside the implementation of joint targets, can ensure a successful partnering arrangement.

Why Beakon?

We believe people make change happen, not overly-complex software, models and diagrams. This philosophy emanates from a clear set of corporate values, which include client dedication, a commitment to deliver, entrepreneurship, and a strong team spirit.