For start-ups that are scaling up their business, they will need more people to handle more work that comes with growth. In Jakarta, recruitment is especially difficult for start-ups as talent with specific skills are still not as abundant as the growth of start-ups. To support the gaps, companies can partner up with vendors that specialise in specific services from technology to communications or PR to provide companies with immediate solutions to sustain their growth.
Even though a good agency or supplier relationship will help nurture a better ROI, they are often overlooked. So we thought we would share some knowhow to help you manage a better vendor relationship so your companies can thrive even more. Let’s start.
Mission and vision
It’s important that you communicate to potential vendors about what your projects entail and what kind of goals you want to achieve. To have a clear understanding about how you’ll work together, it’s imperative to choose a collaborative partner. For example, find a vendor partner that visits often to learn about your company, find out what’s important for your business, and see how you run the business. If the vendor cares about the basics of your business and is curious to know your long-term interests, it’s more likely that you’ll both be aligned on the project vision and see success outcomes in a similar way.
Short- and long-term growth
When securing a partnership with a vendor, think about your needs in the short term as well as your growth in the long term. For example, when you need a videographer for a new video platform, you can find a small videography company that can manage your early projects. But what if the video platform takes off and suddenly you have 10 video projects to complete in a month? Can your current vendor handle the workload? These are some questions that you have to consider.
By using this thought process for your daily operations, from sourcing a photography service to a catering service, you can understand what a hassle it is to upend many of your vendor relationships everytime your headcount or sales numbers increases. It will be better to approach a vendor with growth plans so you can ascertain how well it can support your business in the future.
Observe the company
If you find a vendor by clicking on an online ads, we don’t suggest you run away immediately. Instead, use the opportunity to conduct a meeting with the potential vendor to size them up. Observe the people behind the company and learn more about the kind of service or solutions they provide. Most importantly, don’t choose a vendor because you are intrigued by their compelling advertisement or influential KOL. Focus on the people behind the company, especially the account manager that you will have to deal with for your business, to see if they are capable of implementing the solution as well as giving your company continuous support. See how well they actually understand your company’s current and future needs. In the end, partner with vendors that you personally trust and that will go the extra mile to ensure your company’s success.
The product or service provided by the vendor is important, but is not not the whole part of the equation. Vendors that place an emphasis on continuous support are important as this will impact your business in the long term. Most vendors will show a glossed-up amount of resources that will be needed by your company throughout the partnership, so you have to do the detective work yourself. Ask about the common issues that customers often face during the partnership—what’s the solution usually provided and how long will it take the vendor to solve the issues? Ask other business owners who have had similar experiences or are using the same vendor for references.
It’s a given that we will expect vendors to provide solutions that will help in increasing sales, reducing costs, or increasing efficiency. At the end of every campaign, project, or milestone with your vendor partners, try to quantify the impact they have had on your business. By having quantitative data, it will be easier to justify your spending and allow you to decide fairly whether or not to continue the engagement or look for a new vendor. Proper analysis will show you whether you are getting the ROI you’re aiming for, because if you’re not achieving your desired ROI, something has to be done.