Thread by @joshuamschultz

Some companies/people treat suppliers like crap.

I can tell you that this is a losing proposition in the long run.

How do I know? I was a supplier and customer for years.

Here is what this causes, and how to deal sternly with a supplier without causing an issue...

When customers demand, push, and threaten a supplier, a supplier sees that customer as a risk and hassle, and builds more margin in.

They also know extra efforts won't garner respect, so none are given.

As improvements, or cost reductions become available, they won't be shared.

On the other hand, when a customer is a relationship more than a sale ticket, you feel vested in their success.

A supplier will pass on alternative methods, ideas, and cost saving opportunities.

They will work with the customer to develop better products and services.

So how do you deal with a supplier when something is not going right, but you don't want to long term change the relationship?

It is extremely simple.

It is extremely powerful.

I call it the 1-2.

1. Make a direct email or phone call where you:

- don't not use the word "you". don't make it personal
- state only facts of the situation
- don't exaggerate, or use words like never or always
- state clearly and in 1-2 sentences the problem

- state in 1 sentence why its a problem for your company
- state how its making you feel (frustrated, stressed, anxious, etc)

This communication should be direct enough where it sounds stern and jolts the person a bit.

But not so bad you can't easily recover from it.

You want nothing personal, nothing accusatory, nothing damaging.

Assume there is a reason things went wrong that you don't know, but you still need them fixed and would like to know how and when.

Then, after their reply, comes part 2...

Part is a complete turnaround from your original communication.

You state that you fully understand the situation, are empathetic of the position they are in, and are thankful for their reply and plan.

Thats it!

I have found this technique to be one of the most powerful in my problem solving arsenal.

The initial email gets to the heart of the problem and causes just enough of a stir to get things fixed.

The second resets the relationship on a positive tone moving forward.

I have found that if you start with empathy, you lower the impact of the directness and the supplier feels like the situation hasn't escalated enough to warrant concern or immediate action.

Its also better when the two reactions (even though inconsistent) have greater disparity.

I hope this helps companies who are most certainly having issues with suppliers at this time due to inflation, lead times, mistakes, overwork, etc.