What Are The Ways That Your Food Supplier Can Impact Your Company

Your relationship with your food suppliers Singapore needs to be part of your strategic plan since almost every company, whether product- or service-oriented, is dependent on suppliers. Many business owners seem to view that suppliers instead depend on them. They think that because they write the purchase order, they are in the dominant position and can exploit it with unreasonable demands.

In reality, business owners need good and reliable food suppliers Singapore. When you find them, treat them like gold. Work as hard on building a good supplier relationship as you do building a relationship with your customers. And be loyal to your good suppliers. They are essential to your business's good health and growth.

Here are some ways your food suppliers can impact your company.

1) Quality: Food supplier components can positively or negatively affect the quality of your product. Higher quality increases customer satisfaction and increases sales, which adds cash to your bottom line.

2) Timeliness: Their timely deliveries are crucial to how customers view your reliability. A quick turnaround can become the key to minimizing your inventory, which in turn translates to less risk of inventory obsolescence and lower cash needs.

3) Competitiveness: They can give you the advantage on your competition based on their pricing, quality, reliability, technological breakthroughs and knowledge of industry trends.

4) Innovation: Suppliers can make major contributions to your new product development. The good ones will understand your company, its industry and needs, and can help you tweak your new idea.

5) Finance: If you've proven to be a considerate, loyal and paying customer, you may be able to tap into your suppliers for additional financing once you hit growth mode--or if you run into a cash crunch. That financing may take the form of postponed debt, extended terms on new purchases, a loan, or an investment in your company.

All of the above improve your cash position. Developing good relationships with suppliers is not a complicated process. Be communicative, tell them of your needs and standards, treat them fairly, be demanding, be loyal, and pay them on time. It's that easy.