Having a strategic procurement Framework that is simple to comprehend and implement is helpful for the supplier in addition to the buyer. For the provider, it increases sales and for the buyer, timely and cost-effective purchases imply a smooth flow of operations and product or service offerings. If both sides gain, a company and lasting relationship can lead to Needless to say, it is good for business. However, to make certain that these gains are realized, both parties must do their share to keep this connection. Processes within the distribution chain have to be adhered to by both parties to ensure a relationship of trust can flourish.
Both parties must understand the medical device industry is not primarily for the gains made by producers, retailers and suppliers, but for each person. Therefore, it is a business imperative to educate these manufacturers, retailers and suppliers about the goods that finally land in the hands of customers. Since retailers or buyers are more acquainted with the requirements and demands of customers, they can ask manufacturers and suppliers to think of durable, versatile and reliable products, possibly at competitive prices. This permits an interchange of ideas that brings out creativity and innovation that benefits everybody.
A strategic procurement Framework enables the organization to track and audit its current procurement policies in addition to the compliance criteria set by the organization. Before selecting a provider, one of the prerequisites which an mro industry team needs from a provider is evidence that the latter can comply with the criteria specified by the purchaser. Otherwise, if the purchaser still selects the provider and provides products of a sub-standard quality, it may damage the standing of the buyer. If there are procurement policies and practices that are not in alignment with the organization’s goals, reforms could be implemented.
Businesses that strategies Supply chain processes take advantage of the stability of a ready supplier that is able to deliver on expectations. Additionally, stable providers minimize the possibility of engaging in transactions which might disrupt the purchaser’s business. From the very beginning of the distribution chain, the experience of suppliers is deemed to benefit not just the purchaser or merchant but also the end customer. The purchaser can have bragging rights regarding the quality of the products it sells and adds confidence and value to stakeholders also. In the long run, it boils down to a win – win scenario.