The whole category in one page.
A MODEST IMPROVEMENT IN BUYING AFFECTS PROFIT MORE THAN A LARGE INCREASE IN SALES
Every unit saved goes straight to profit; a sale contributes only its margin. Bought goods and services are usually the largest cost after people.
COMPARE TOTAL COST OF OWNERSHIP, NOT PRICE
Purchase, delivery, installation, training, running costs, maintenance, life and exit. The cheapest quotation frequently costs the most.
SPECIFY THE REQUIREMENT, NOT THE BRAND
Naming a product eliminates alternatives and removes your negotiating position. Ask of every requirement what happens without it.
A QUOTATION SUBSTANTIALLY BELOW THE OTHERS IS A WARNING, NOT A SAVING
It usually means the specification was misunderstood, or that extras will follow.
NEGOTIATE EVERYTHING EXCEPT PRICE FIRST
Payment terms, warranty, support, training, spares and price stability. Suppliers resist price cuts and concede elsewhere — and squeezing a supplier to unsustainability means they cut quality or fail.
VERIFY EVERY CHANGE OF SUPPLIER BANK DETAILS BY TELEPHONE, TO A NUMBER YOU ALREADY HOLD
It is the commonest payment fraud there is, and it arrives looking entirely routine.
SEPARATE WHOEVER ORDERS, RECEIVES AND APPROVES PAYMENT, BECAUSE IT IS THE BASIC CONTROL AGAINST BOTH ERROR AND FRAUD
CALENDAR THE NOTICE DATE, NOT THE EXPIRY DATE, OR AUTOMATIC RENEWAL COMMITS YOU FOR ANOTHER FULL TERM
AND PAY SUPPLIERS ON TIME, BECAUSE IT IS RARER THAN IT SHOULD BE AND IT BUYS PRIORITY WHEN YOU NEED IT
