6 Reasons to Consider Single-Source Supply Partnerships
Why a Holistic Approach to Sourcing Wins a Competitive Edge for You and Your Customers
Would you welcome a supply partner who uses current market trends to design individual product and pricing programs to meet your customers’ specific needs? Or just think about the valuable time and resources saved by cutting out the day-to-day administration of multiple supply lines. And imagine the reassurance of a stable supply chain that guarantees against price and delivery disruptions. Is it time to consider single sourcing?
Shift your sourcing strategy from short- to long-term.
Single sourcing shifts the focus of the traditional supplier relationship from short-field, price-driven transactions to long-view, holistic partnerships. Companies who trust to build their businesses using a dedicated supply chain – from manufacturer to distributor to end-user – benefit from the investment. A trusted single-source supply partnership offers transparency and accountability over the entire purchasing process.
From cost efficiencies and service enhancements to marketing power, here are 6 benefits of single sourcing:
Cost Reductions. Volume buying increases your bargaining power and can qualify you for guaranteed availability and customized pricing programs. Also, single-source purchasing eliminates recurring handling and delivery charges from multiple suppliers.
Service Enhancements. Dedicated sales and support teams yield greater quality control and customer satisfaction. And supplier-generated, customized account reporting has the metrics to prove it.
Administrative Time- and Expense-Savings: Streamlined bidding and contract cycles, blanket purchase ordering, and single invoice processing save administrative time and expense. In addition, daily communications with multiple suppliers are virtually eliminated, freeing up valuable resources for new business development.
Operational Cost Efficiencies. Automatic buying and delivery schedules can increase your ability to pre-plan production and optimize capacity utilization. As a result, you can operate more efficiently with smaller, streamlined inventory levels.
Price Leveraging. Leverage your improved volume pricing position to pass along more competitive pricing to your customers. This in turn can generate more sales and revenue for your own business.
Brand Strength and Marketing Power. Long-term partnerships help build brand identification, reputation, and marketing alignment across your entire supply chain.