Business Scnool Real Business Fiuture Leaders STEP 2 PLOT TH
Solution
We have put \'Pedroller\' as the supplier of \'water pump\' in the \'Control\' quadrant of the Supplier Relationship Matrix. This means that we find a low profile with Pedroller and with it, we do not see any strategic potential. Whilst the items or services we purchase from it (the water pumps) may be important, we don\'t find a point in developing a deeper or long-term relationship with it. We just have to ensure that we obtain the best available deal and that deliverables are met using classical purchasing techniques. With this particular supplier, we need to conduct ‘business as usual’.
Further, we have put \'EKSA, Difful, and Orgland\' in the \'Strategic\' quadrant of the Supplier Relationship Matrix. This means that we should expect the greatest potential to develop long-term relationships with these suppliers an can innovate new things. Some of these initiatives may well be happening already, but we should now plan a structured, managed relationship which is absolutely integrated into both the organizations. We should now discover the areas where we can leverage the strategic relationship with these suppliers using specifically planned supplier relationship programs. This will lead to the competitive advantage to the customers for the applicable products.
