​When a company needs to tighten up the way it already purchases something significant or purchase something new, it usually considers multiple suppliers. It evaluates everything – best price, expected reliability, and so on.

This can be quite a lengthy process if there are a lot of potential suppliers, but, because it's the only reliable way to optimise pricing and delivery, it's a smart use of resources.

The problem comes when organisations carry out supplier evaluations only once, preferring to stick with the decision made after that. Things change!

​The management of project supply chain risk is an essential part of any project strategy, because the supply chain is bound up with the financial health of your project and your company. The risk management strategies decided upon may determine the degree to which your project reaches the required outcomes in the event of a disruption. 

Project supply chain risk management is no longer seen as a reaction to an unexpected problem, but as a strategy and a plan to be put in place before any such problem occurs. Many case studies have shown that there is always risk in the project supply chain, and that its improper management can cripple your project, or in extreme cases cause it to lose money and perhaps close the door on your business. That is why risk management cannot be ignored.

​Procurement leaders need to move supplier relationship beyond adversarial and purely cost focused to an integrated relationships that can instil co-creation of new values and sustainable competitive advantage. As the world economy becomes increasingly competitive and uncertain, it is imperative for the leaders to manage supplier relationship that can withstand volatility, scarcity, and rapidly evolving customer behavior. In this article, we outline the 6 highly effective actions to create value through supplier relationship management.

​Savvy category managers go beyond identifying and shortlisting suppliers but they put effort and commitment to grow, improve, and cultivate a long term relationship with their suppliers to become mutually beneficial partners. A good category plan actively consolidate the category spend of an organization and focus on key partners that are able to support the organization's long term business growth and requirements.