Mending Vendor Relations
January 25th, 2010As 2010 events rev up, we’re soliciting vendor proposals and negotiating contracts like rapid-fire. It’s great to see the industry reviving and, as usual during the proposal stage, we’re finding service providers to be communicative, thorough, and enthusiastic, flush with the prospect of new business.
Unfortunately, this isn’t always the case. When vendors underperform, it’s important to remain calm and not rush to any conclusions that can lead to unnecessarily broken contracts. Most of the time, it just takes an honest conversation to reach an understanding.
1. Schedule a meeting with the primary contact, in person if possible, to review the status of the project.
2. Begin on common ground, mentioning tasks that have been completed well or you know the vendor has underway.
3. Be aware of the tone of your voice. Respectful discussions breed compromise and understanding.
4. Explain that each question or request is part of a larger context and impacts numerous tasks down the line.
5. Reset expectations. Review the current situation and outline areas or steps that need to change.
6. Ask for suggestions on how to make improvements.
7. Review written timelines and have both parties sign the document as a sign of good faith.
Most service providers know, especially in this recovering economic environment, that reputations and future opportunities are on the line. Use this to your advantage to seek the best out of your vendors. If a discussion does not improve matters, the situation may need to be escalated to the business owner or to your lawyer to identify additional steps that can be taken to assure the event’s success, even if it means exercising the contract’s cancellation terms and identifying a new vendor who can hit the ground running.
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