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Supply Relationship Management is very important , yes it deifnetly adds value to company overall value and good will.
As suppliers are important as customers and if you have good cordial relationship there will no gap in supply chain otherwise in manufacturing lack of supply can cause big issues and lead to big losses as break in supply chain will lead to scarcity of items or components which is critical.
If there is partnership between two companies like OEM and distributor and if there is strain in SRM then it can also lead to gap in demand and supply which directly effects sales revenues. Which brings bad name in market and companies loose value.
To achieve the goals companies should not just focus on customers.There are several players which help the organisation to achieve its objectives. When we see the backward integration there are suppliers who are constantly supplying the raw material to the company and on the forward side are the distributors retailers etc.
Organisation should develop a very good and harmonious relationship with them too. So the concept of Supply relationship management comes into the picture. This helps the organisation to build a good rapport with its suppliers. As I m a strong beleiver in lean manufacturing concept I beleive SRM helps the organisation to go with new concepts like JIT, Inventory control etc Which plays a very important role in todays enivornment as companys want to reduce costs and attain overall leadership. To accomplish all this SRM acts like a catalyst.
Value are the benefites for which the customers are willing to pay. Optimal utilisation of resources leads to less wastage and thus adds value and reduces costs as there are less defects more output etc. leaing to economies of scale.
SRM, Supplier Relationship Management is very important for Procurement department and Manager bcoz, if your do not build supplier relationship you can not achive your goal on your professional procurement, supplier relationship management is defently value add in your job, it most necessery for manfucturing company nd others. if you achive your procurement goals you must to build up relationship with supplier, it will be save your production lost, reducuing procurement cost, supply realibility, better market price, good quality as well......................
SRM if I read it correctly Senor Recruitment Manager
As all aware contract management constitute core in procurement
From this window he or she will add value and facilitate and pave the way
