Often three types of decision makers take part in the procurement process. They are the authoriser (top executive), the buyer (junior executive) and the user (operational staff). The Q5 Supplier Solutions Programme detects discrepancy levels in satisfaction levels between these designations. For example, should the supplier be rated significantly higher by the authoriser than by the user, it is often an omen of deeper problems.  (The authoriser gets benefits that leave the user with a less-than-optimal product.) 

When authorisers or buyers have been presented with a supplier with a higher Performance Index and better Value Index than the current one being used, the responsible persons must justify their decision if they persisted in using suppliers that that seems to be detrimental to the enterprise.  

The purchasing department, therefore, has the responsibility of identifying suppliers who can provide the right products, of the right quality, the right amount and at an acceptable price.

Loyalty is a critical component of business success.

Organisations need supplies to not only satisfy the needs of their supporters but also the needs of their employees.

Procurement directly influences companies’ profitability, because often the largest percentage of finances is spent on purchasing raw materials and consumables.  If those responsible for purchasing fail, all the other departments suffer due to the interrelatedness and interdependence of the different organisational processes and sub-indexes.

The Supplier Enhancement Programme produces customer centric suppliers, reaping the advantages typical of customer-centric companies: 

• better marketing and sales capabilities 

• before- and after- sale service improves (can handle complaints more effectively) 

• capable of attracting and keeping customers and also building relationships with customers

• improved understanding of past, present and emerging needs of customers 

• the gap between them and their competitors widens and makes it almost impossible for them to catch up 

• by understanding the needs of supporters, organisations can better anticipate what will be expected of them to plan accordingly

• product waste and incorrect orders are reduced

• feedback from supporters helps organisations to get rid of issues that do not live up to the expectations of supporters, and allow

• organisations to rather spend money on other more appropriate products or activities

• greater responsiveness when people are better trained and equipped to handle requests

• personalised dialogue with supporters – making them feel valued and 

• employees can improve their service delivery because they know what supporters want
  
  
  

All the above improve the rewards to all stakeholders if loyalty remains a top priority

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