Will joining a group purchasing organization (GPO) put a wedge between you and your supplier relationships?
It's a valid concern. After all, building strong relationships with suppliers is crucial for smooth operations and getting the best products and services. There’s no denying that Supplier Relationship Management (SRM) is the catalyst for:
- Improved quality: Suppliers are more likely to prioritize quality and service for valued partners.
- Reliability: Trust fosters reliability, ensuring timely deliveries and consistent product availability.
- Collaboration: Open communication encourages collaboration on new products and solutions.
- Flexibility: Good relationships can lead to greater flexibility in terms of order sizes and adjustments.
- Priority support: Strong ties often mean faster response times and better support during issues.
- Innovation: Suppliers may share new trends and innovations with trusted partners first.
But what if we told you that partnering with a GPO like Una could enhance those relationships rather than hinder them?
In this article, we take a look at how a GPO can serve as a bridge, not a barrier, between you and your suppliers.
Strengthening Supplier Relationships
First off, let’s clarify what a GPO does. Essentially, a GPO pools the purchasing power of multiple organizations to negotiate better deals with suppliers. By leveraging volume purchasing, GPOs can secure discounts that individual companies might not be able to access on their own. But don’t worry; joining a GPO doesn’t mean you have to sacrifice the personal touch in your supplier relationships.
An Intermediary, Not a Middleman
At Una, we like to think of ourselves as an intermediary if you want us to be. This means that while we can step in to handle interactions with the suppliers in our portfolio, the choice is yours. If you'd rather maintain direct communication with suppliers, that’s completely fine. Our model is flexible, allowing you to engage with your suppliers on your terms.
What this looks like in practice:
Imagine you have a concern about a decline in quality with one of the suppliers from our portfolio. You can address this with the supplier directly, or raise your concern with Una and our Member Experience Team and we will work with the supplier and find ways to ensure performance is measured and improved.
We Handle the Tough Stuff
One of the biggest headaches in procurement is contract negotiation. It’s time-consuming, often complicated, and can feel like a full-time job. That’s where we come in.
Una’s primary role as a GPO is to offer members the choice of thousands of pre-negotiated contracts with top suppliers who offer substantial discounts for volume purchases. You won’t have to worry about sifting through legal jargon or haggling for better prices. We take care of that, allowing you to focus on what you do best: cutting costs.
What this looks like in practice:
Members simply select what they want from our catalog of 2500+ pre-negotiated contracts with top suppliers across popular indirect categories.
Mix and Match Suppliers
Another fantastic feature of working with a GPO like Una is the flexibility it offers. You’re not required to abandon your current suppliers. In fact, you might find that a mix of Una’s suppliers and your existing partners across different categories works best for you. This hybrid approach allows you to maintain relationships with suppliers you trust while also benefiting from the enhanced pricing and services that a GPO can provide.
What this looks like in practice:
A business might choose to use suppliers from Una’s catalog for food, office supplies and shipping, while sticking with their own IT supplier due to established relationships.
Collective Negotiating Power
By joining a GPO, you gain access to the collective negotiating power of all member organizations. This is especially beneficial for smaller businesses that might struggle to negotiate favorable terms on their own. With Una, you can tap into much larger discounts and better service levels, all while maintaining your unique supplier relationships.
What this looks like in practice:
As a member, you’ll gain access to pre-negotiated contracts with top suppliers that would otherwise have been out of reach.
Building Stronger Relationships
The misconception that GPOs will disrupt your relationships with suppliers is understandable, but it’s essential to highlight that our goal is to build stronger connections. By taking on the heavy lifting of negotiations, we free you up to foster more meaningful interactions with your suppliers. You can focus on collaboration, innovation, and shared goals instead of being bogged down by the nitty-gritty of contract terms.
What this looks like in practice:
With pre-negotiated GPO contracts you can focus on getting the most out of a supplier relationship without the need to discuss the commercial side of the arrangement. This means you can put all your efforts into finding better ways of working together, unlocking innovation, and more.
Access to a Network of Quality Suppliers
When you work with Una, you’re gaining access to a network of quality suppliers that have been vetted for reliability and service. Whether you're looking for office supplies, technology solutions, or janitorial services, our network is diverse and designed to meet your needs.
What this looks like in practice:
Discover hundreds of new suppliers who align with your values and standards while still keeping your existing ones.
A Partnership, Not a Replacement
At Una, we strive to be a partner in your procurement process, enhancing rather than replacing your existing relationships. With our support in contract negotiations, the flexibility to mix and match suppliers, and the power of collective purchasing, you can enjoy the best of both worlds.
So, if you’ve been hesitant about joining a GPO due to fears of losing touch with your suppliers, it’s time to reconsider.
Embrace the opportunity to streamline your procurement process, unlock significant savings, and strengthen those all-important supplier relationships.
