• Admin

  • 13 Nov, 2019


One of the most taken-for-granted relationships in any business setup is the one you share with your suppliers. When you aspire to deliver satisfactory even high-quality services, it holds utmost importance to maintain a strong and healthy relationship with your supplier. Conflicts in the system could actually lead to unwanted outcomes. The source of challenges or errors resulting in conflicts has been identified and the solutions presented throughout this article. Yes, understanding and rectifying the conflicts to its exact necessity ensure smoother processes directly leading to successful results.

Suppliers play a crucial role in any company’s success. They are initiators to your processes. It is important to manage a healthy relationship with your supplier. Below enlisted are the some of the challenges endured by both parties as well as possible solutions that would put to rest the former.

Supplier’s Track Record

It makes no difference what business you are in, suppliers and vendors play a key role in your company's success. Having a formalized system in place to track and evaluate supplier and vendor performance is essential to the smooth operation and profitability of your company. This literally means that the first step to take before engaging with any supplier is to go through his past and current projects and to investigate his knowledge about tax and legal implication of exporting and importing. Knowing the supplier beforehand helps to create and build healthy relations.

Understanding the Culture

Belonging to a different culture may give rise to different views and interpretations while having the same conversation. This is especially true between contractors belonging to the Malay ethnicity and the Chinese in Malaysia. Misunderstandings in intercultural communication may occur because of many factors, one of which can be attributed to differences in cultural communication style and values.

Communication gap

Communication is absolutely necessary for many aspects of the business especially that which implies sale and purchase with a whole lot of payment negotiations. If a supplier doesn’t understand the company’s strategic goals along with its needs and requirements could lead to poor results. Maintaining good contact with the suppliers can benefit the organization in a big precisely the profitable way.

Stressed Supplier

Suppliers deal with numerous organizations at once. Often the order is delivered late by the supplier due to unavailability of some of the products. These late deliveries can weaken the relationship. Forecasting the requirements of the company can help in running the SRM (Storage Resource Management) process smoothly. Also late-payments sometimes non-payments from contractors could lead suppliers to lose confidence which eventually leads them to stop delivering at once.



Conflicts over Contract

Signing a biased contract can be very unpleasant for the supplier. One should make sure that the contract has benefits for both the sides. A contract must be reviewed very carefully before it gets finalized.

Many organizations are now realizing the importance of Buyer-Supplier Relationship Management. Efforts have to be made on a continuous basis to build harmonious Buyer-supplier relationships. An innovative approach is required as it is a long-term approach to sustained success.

Invoice Niaga offers an array of features to ensure the convenience of management and precision with data. There isn’t a need for more hustling around and wasting your precious time with little executions that can actually be automated easily.

  • Send and Schedule Invoices to the buyers on time.
  • Buyers can send purchase orders in a timely manner.
  • Suppliers can send in estimates for buyer approval.
  • In the case of a price settlement, the buyer can send inappropriate credit not.
  • The buyer can get a free log-in to access all invoices and account statements online.

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InvoiceNiaga Team

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