Are you too dependent on key suppliers?
It makes sense to give your best suppliers a good chunk of your business. But if you rely too heavily on a small number of suppliers, you can really paint yourself into a corner.
Many of peers appear to be doing just that. A new benchmark report from CAPS Research revealed some troubling findings about supplier dependency.
Here’s what the report discovered:
- Only 18% of companies have a formal policy that limits how much business they can give to one supplier, and
- Less than 50% of companies track supplier dependency.
To avoid becoming too dependent on a single supplier, experts suggest that companies draft a policy which limits the amount of business you can give one supplier to around 35%.
Readers, does your company have a limit on how much business you can give a single supplier?
- Share on
Free Training & Resources
White Papers
Provided by Anaplan
White Papers
Provided by Anaplan
Further Reading
No matter how hard you try, sometimes you and your finance team fail. We make mistakes. We miss deadlines. We fall short. In fact, a...
Your boss has a really good idea – at least she thinks so – and you disagree with it. Awkward, isn’t it? On the one hand, you owe ...
Believe it or not, more than 80% of workers like their employers’ Paid Time Off (PTO) packages. But that doesn’t stop a surpris...
Companies say they’re struggling to find talent. Maybe you’re in the same boat. It can seem like top performers are choosing ot...
You just can’t always tell from an interview if certain applicants may require more praise and (ahem) hand-holding than other job can...
Year after year, surveys show about 70% of job applicants lie on their resumes or applications. People lie about their skills, employers, c...
