Wednesday, October 26, 2011

How to Pick a Great Supplier

Choosing a supplier can be a huge headache. They become essential to your company and you depend on them to keep your company running smoothly and efficiently. A great supplier will make your job easier, not harder. Pick the wrong one and you could be dealing with late shipments, low stock , poor quality or lengthy lead times. 
When choosing a supplier, here are some steps to include to avoid supplier conflict, lost products and wasted money.
1. Are they reliable?
A good way to gauge the dependability of a supplier is their history; how long they've been in business and are they in good standing in industry groups. Also, check out their website. Is it current and updated? Do they display their contact information? Is the information and pricing they present consistent? What is their return policy? How do they deal with faulty product? Can they guarantee their stock and fees?  
If they want your business, they should be able to answer any that you have and provide additional information about their abilities and  experience. 
If possible, do a credit check. Do they have tax liens or any "failure to pay" alerts? These are red flags showing a company's instability. If they have a difficult time paying their taxes, that kind of unpredictable behavior will translate to their production and to your product.
  • Triangle has been in business nearly 90 years.
2. How happy are their current customers?
If they can't please their current customers, chances are, you won't be happy either. Search the company on BBB.com, yelp.com or even Twitter or other social media channels. It should be pretty evident if they have unsatisfied customers,  either  through reviews, angry tweets or a low rating. Unhappy customers are typically more vocal than satisfied ones about their experience. Ask for testimonials, or check their website for comments from current or past customers.
A great barometer of overall customer happiness is their ongoing relationships and the length of a typical customer-supplier interaction and the amount of returning customers versus single purchases.
  • Triangle has customer relationships dating back to the 1960s.
  • These customers have purchased from us consistently for over 50 years. We also provide genuine customer feedback on our website.
3. Do they have flexible shipping options?
No one wants to worry about shipping and shipping charges, it just has to work. A great supplier will make shipping, domestically or internationally as painless as possible. They should have knowledge of Customs requirements, EXWORKS and INCOTERMS regulation, along with helpful tips about shipping weight, packaging and cost.
Before purchasing, ask about their shipping options, do they have an onsite warehouse? Onsite shipping will cut down on the lag-time that you can experience between placing your order and your product leaving the supplier.
  • Triangle strives to provide the most efficient, nimble and low-cost shipping options available. We can ship: UPS, FED-EX, LTL, collect or pre-paid from our onsite shipping department. We provide this through custom software and an internal IT department that works to integrate our scheduling with our customer's scheduling systems with computerized MRP (Material Resource Planning). We can accommodate labeling and packing requirements, along with being EDI (electronic data interchange) capable.
4. Customer Service
In the supplier--OEM relationship, everything should function smoothly. However, sometimes things go wrong. In that moment of panic, you should be able to get a hold of you supplier instantly to get things back on track. Think about having to wait through automated menus, long hold times and voicemails; when all you want to do is correct a PO number or change a ship date. Will you be able to communicate effectively with the supplier? Will they work with you to make sure an order is correct?
  • When you call Triangle, a real person will answer. A person who sincerely cares about the progress of your order -- whether it's 10,000 tri-arm brackets or just a bearing for your lawnmower. A person will answer the phone, and more importantly, respond to your problem or adjustment. You won't be subjected to endless options, or juggled between departments.
5.  Product Choice and Availability
Most importantly, does the supplier carry what you need?  If you require something that isn't standard, can they custom manufacture it to your specifications? Ask to see prior custom creations and ask about average lead times, tooling costs and other unforeseen costs that can quickly add up.
Double check to make sure they can accommodate special material options, offer design and engineering assistance and ask about quality assurance.
  • Triangle bearings and mounts are available in materials ranging from stainless steel to wood to bronze. We can accommodate almost any material request and have short lead times.

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