In the increasingly competitive market space, suppliers have become the prime target for the manufacturers to effectively track and monitor their production line. With the relentless growth of technology, manufacturers are going under tremendous pressure to increase their visibility through robust product offerings. In the automotive industry, leading business providers are effectively working toward improving their supplier relationship and building their trust with suppliers to enhance their profits and ROIs. Furthermore, businesses are resorting to robust supply chain management to establish an effective procurement strategy and improve the quality and delivery of supply chain activities.
To effectively understand the suppliers and devise a robust supply chain management plan, the client approached SpendEdge’s supplier relationship management experts. SpendEdge’s supplier relationship management experts further help clients leverage the use of supplier capabilities to deliver cost savings and reduce supplier risk exposure.
The Procurement Pain Point and Insights Offered
A renowned client in the automotive industry was facing predicaments understanding the competitors and devising an effective competitive strategy to retain their foothold in the automotive industry. The client further wanted to understand and profile their suppliers and understand the typical risks associated with the key suppliers. The client further wanted to understand the possible impact of supplier risk management on the supply chain. Furthermore, the client also wanted to retain a long-term relationship with their suppliers.
To improve the supplier performance, SpendEdge’s team of supplier relationship management experts followed a two-step research approach comprising of interviews and discussions with leading suppliers in the automotive industry. Also, the team of experts further collated information from various proprietary sources such as paid industry databases, industry forums, company presentations, and newsletter in the automotive industry.
After assessing the recent trends and challenges impacting the automotive landscape, SpendEdge’s analysts helped the client manage procurement at the strategic level. SpendEdge’s supplier relationship solution also helped the client devise a more collaborative approach and develop a robust relationship to generate value in terms of innovation and efficiency.
Key questions answered in this cost analysis include
With the help of this supplier relationship management study, the client was able to collaborate with key suppliers and optimally reduce costs associated with procurement. Also, the solution offered enabled the client to increase innovative power, reduce working capital, and prevent reputational damage. Furthermore, the engagement also helped the client monitor the supply chain, shorten time-to-market, increase supplier service, and improve product quality.