Set up and Conduct the Business Relationship
In a business, it is necessary to build up a strong relationship with the suppliers. This can develop the productivity as well as the professional relationship. In such, the most important thing is built up of trust in between the enterprise and the suppliers. The enterprise needs to promote the goodwill. The trust can be built up by showing respect to each other. Hence, the the emprise and suppliers both need to have the strong communication skill. Communication skill is the way to connect people and abolish the misunderstanding (Erkul, Kaynak and Montiel 2015). The enterprise needs to use the effective skills and techniques to grow the productivity. They need to identify the opportunities and take up those opportunities so that they can maintain the regular contact with the suppliers. The nurture relationship can be built via the regular contact. Both the enterprise and suppliers need to use the effective interpersonal and the communication style. Negotiation can be conducted in the business and the professional manner. This negotiation can be conducted in context of the present enterprise marketing focus. This can help both the enterprise and suppliers to maximize the benefits in the negotiation via the use of the established techniques and, In such context, the long term relationship can be established. This will help to incorporate the feedback and also provide the input from the colleagues into negotiation in the appropriate place (Leppelt et al. 2013).
The enterprise needs to communicate with the suppliers about the results of the negotiation as well as with the other parties within the appropriate timeframe so that all can understand this. However, this may need approval from the provision (Erkul, Kaynak and Montiel 2015). They pro- actively seek and review the information. Moreover, they need to act upon the information that is necessary to maintain the relationship in between the business. It is necessary to maintain the honor arrangement in the scope of the individual relationship. it is necessary to make the adjustments to the agreements in the consultation with suppliers and also share the information with the appropriate collogues. Blut et al. (2016) mentioned that in case of a successful business, it is necessary to build up an honest relationship with the suppliers and the good relationship relies upon the strong communication skill. The ordering process should be set up standardized so that both the suppliers and the enterprise can understand those and follow the guidelines. All the parties need to communicate in the appropriate way and discuss all the problems of the business. Another important thing in business is the payment. The payment should be done on time and inform the suppliers about the due dates. They need to avoid the unrealistic demands for either services or the products. If they found any product is damaged, then they need to return those promptly. The enterprise need to monitor the performance of the suppliers and also review them. They need to measure their capabilities against the competitors.
If the enterprise faces any problem with the suppliers then it is necessary to find out the reason of the problems and reduce those issues as quick as possible. They can make strategic plan to deal with the suppliers that can be product oriented or serviced oriented. On the other hand, the suppliers also need to be careful about the services and the quality of the products. With the quality of the products, the rate of the customer satisfaction increases as well as decreases the cancelation of orders or return of services (Homburg, Wilczek and Hahn 2014). It is necessary to maintain the timelines of the delivery and the products needs to be reliable to the customers. As the competition of the business market is high therefore, they need to be careful about the quality, technology, pricing and the reliability as well as the trends and knowledge. These factors lower the risks of the obsolescence and the run out of cash. The suppliers need to bring innovation in their products and services, which can attract more customers and enterprise success to the enterprise (Wagner and Bode 2014). It can be expected that these key ideas will helps to develop a strong relationship in between the suppliers and enterprises.
Blut, M., Evanschitzky, H., Backhaus, C., Rudd, J. and Marck, M., 2016. Securing business-to-business relationships: The impact of switching costs. Industrial Marketing Management, 52, pp.82-90.
Erkul, M., Kaynak, H. and Montiel, I., 2015. Supplier relations and sustainable operations: the roles of codes of conduct and human resource development. International Journal of Integrated Supply Management, 9(3), pp.225-249.
Homburg, C., Wilczek, H. and Hahn, A., 2014. Looking beyond the horizon: How to approach the customers' customers in business-to-business markets. Journal of Marketing, 78(5), pp.58-77. Wagner, S.M. and Bode, C., 2014. Supplier relationship-specific investments and the role of safeguards for supplier innovation sharing. Journal of Operations Management, 32(3), pp.65-78.
Leppelt, T., Foerstl, K., Reuter, C. and Hartmann, E., 2013. Sustainability management beyond organizational boundaries–sustainable supplier relationship management in the chemical industry. Journal of Cleaner Production, 56, pp.94-102.