Working with a specialist and experienced procurement partner is more than looking at ways to reduce costs, although this is a significant benefit. It’s a way for businesses to re-evaluate processes and procedures to see how they can maximise performance.
With a growing need for businesses to increase long-term stability, working with a procurement partner can bring specialist skills into the team, reduce costs, take the pressure off internal resources, bring new creative opportunities, AND source the goods and services you require effectively and efficiently.
Whether you’re looking for a procurement partner to complement existing expertise within the business, or you’re looking at ways to improve existing measures and you want to introduce new and more streamlined procurement processes, GHL have you covered.
We provide you with a complete procurement solution. We help take you from product development to product sourcing and through supply chain management procedures as smooth as possible. This brings all aspects of your procurement into one effective process.
Benefits of working with an experienced procurement partner
Access to expertise
An experienced procurement partner will already have access to an extensive and relevant network of suppliers. They know first-hand who is best suited to your project and which manufacturers can best meet your needs.
With this level of access to procurement resources, you can be assured of receiving the best service and the highest quality products.
Due to the various connections from their years of experience, you will also have access to a stream of new ideas and opportunities. This helps you and your business remain competitive even in the most saturated of markets.
Often results-driven, a professional procurement partner understands the pressures of business procurement and works tirelessly to deliver on specific KPIs.
Streamline your procurement process
Streamlining your procurement process is a big benefit for business; one that brings with it numerous advantages.
The main one?
You can dramatically increase efficiencies by helping your supply chain run like clockwork; this means faster production times, reduced costs, and increased profits.
Working with a procurement partner can bring much more agility to processes and procedures. They help to improve lines of communication and so, support operational efficiency.
Questions, issues, and misinterpretations can be dealt with swiftly and effectively, helping you avoid any potential problems further along in the process.
Saving you time and resources
Building up a network of trusted connections is not only good for your business’s finances but is vital for your business’ success.
Due to the level of expertise and contacts a professional procurement partner can bring, you will see:
- Cost savings as you move from multiple suppliers/manufacturers to select ones
- A reduction in procurement costs as contracts have been negotiated (and negotiated well) on your behalf
- Delivery costs are reduced as schedules and terms have been agreed upon that support and protect both parties.
All of these areas take time and resources, time and resources from your internal teams that could be better spent on other income-generating areas of your business.
Take care of contract negotiations
Negotiating price, volume, quality standards, and delivery schedules is not everyone’s forte. It takes time, good communication skills, and a relationship built between both parties with a clear understanding of both sides.
The best contracts are based on trust, experience, knowledge of the area, and an understanding of local laws. It is the job of a professional procurement partner to deliver on all of these to your benefit and more.
Due to their sound knowledge of their network of suppliers, procurement specialists are often the first to know about new product developments and services; placing them in a prime position to seek other opportunities when sourcing items that could be suitable and profitable for you.
This opens up a door to further business opportunities and allows you to keep your competitive edge.
When sourcing products overseas, quality is everything. Not only should this be built into contracts, but you need to factor in testing and prototypes when sourcing overseas. Therefore, you must set quality standards from the outset, and manufacturers and suppliers must be vetted and checked regularly to maintain quality levels.
Procurement specialists like GHL work closely with all overseas manufacturers and suppliers, with great working relationships; quality at every stage is one of our guarantees.
Support internal teams
For some businesses, we often find that you don’t always justify a full-time internal procurement resource. It can be costly and time-consuming.
In addition, procurement and sourcing overseas may be a responsibility of one of your internal teams, putting pressure and additional working restraints on their job role.
By outsourcing your procurement and sourcing needs, you can keep costs low. This reduces the number of suppliers you’re working with and streamlines processes. It also reduces the workload of your internal teams, keeping motivation and productivity in other business areas high.
Signs you need to outsource
- You want to do more with less
- Procurement demands for specific projects are increasing
- Dealing with various suppliers is occupying a lot of time and resources
- Product quality is slipping
- Current delivery schedules aren’t being met
- Costs are starting to overrun.
In any of these instances, you need to choose a procurement partner who is skilled, knowledgeable, experienced, and can meet your exact requirements.
You need a team with whom you can trust with confidence; confidence they will deliver what you need in the most cost-efficient and effective way. Your chosen procurement partner should be seen as an extension of your business, i.e. a true partner.
A partner you can trust
With businesses seeing anywhere between 30%- 70% of their total budget going toward the cost of goods, even the smallest of savings in this area can substantially impact your bottom line.
However you invest time in your relationship with your chosen procurement partner, it should be a relationship built on continuous communication and development. The more you put into the partnership, the more you will get out of it.
At GHL, we have teams on the ground in China working closely with reputable suppliers, ensuring all orders are followed through, quality standards are high, and delivery schedules are met.
Taking a multi-faceted approach, we identify solutions that add incredible value.