AOP Live Webinar Watch Again: Collaboration or Competition: How Cost Transparency Settles the Debate
Good negotiation skills are fundamental to procurement. They allow us to maximize value while simultaneously building resilient, low-cost supply chains. But now that procurement is moving towards collaborative partnerships with our suppliers, it is fair to ask the question: does reducing direct competitive pressure inadvertently allow higher pricing?
Rod Sherkin, Founder and President of ProPurchaser and a former CPO, says the answer is “no, quite the contrary.” The power of Cost Transparency makes it possible for procurement to stay in the driver’s seat at the negotiating table and convince suppliers that lowering prices is in their best interest too.
In this AOP Live session, the discussion centered around Rod’s unique approach to supplier negotiations and forging cooperative working relationships that financially benefit procurement and suppliers and make it possible to build supply chains that create enduring competitive advantage.
Rod Sherkin answered live questions about:
- Why looking at the Big Picture will increase your understanding of supplier costs and help you find “Silent Slopes” to create leverage for price negotiations
- Simple should-cost modeling – how to build an initial, draft model (in a few minutes); and then how to engage and finalize it with your supplier and thus create joint ownership