Price that matters
IT Outsourcing and vendor management and selection for better value for money.
Published on: Mar 4, 2016
Transcripts - Price that matters
#"Price" #that #matters -
Apr 7, 2015
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numerous factors to consider when evaluating and selecting a vendor. Each option contains
its own set of considerations and limitations based on elements including industry, product and,
most prominently, the proposed solution’s ability to address the client’s challenges.Choosing the
right vendor involves much more than scanning a series of price lists. Your choice will depend
on a wide range of factors such as value for money, quality, reliability and service. How you
weigh up the importance of these different factors will be based on your business' priorities and
Typical vendor selection process :
The most effective vendors are those who offer products or services that match - or exceed -
the needs of your business. So when you are looking for technology vendors, it's best to be sure
of your business needs and what you want to achieve by buying, rather than simply paying
for what suppliers want to sell you.
For example, if you want to cut down the time it takes you to serve your customers, vendor that
offer you faster delivery will rate higher than those that compete on price alone.
What you should look for in a Technology vendor :
Remember - if they let you down, you may let your customer down.
The quality of your vendor needs to be consistent - your customers associate poor quality with
you, not your vendor.
Value for money
The lowest price is not always the best value for money. If you want reliability and quality
from your vendors, you'll have to decide how much you're willing to pay for your software
/support and the balance you want to strike between cost, reliability, quality and service.
A partnership approach
A strong relationship will benefit both sides. You want your vendor to acknowledge how
important your business is to them, so they make every effort to provide the best service
possible. And you're more likely to create this response by showing your technology vendor how
important they are to your business.
To conclude :Price isn't everything
Other factors are equally important when choosing a vendor - reliability and speed, for example.
If you buy cheaply but persistently let do