Getting More Business Value Out of Vendors

31.05.2012

That will make sure that everyone is at least aware of your expectations. But then I've found there have to be a lot of candid conversations. Be honest about your selection criteria and make it clear which variables weigh more with you. It can be hard to get vendors past thinking that lowest cost is the most important issue, but you need to help them understand that you're talking about innovation and other business needs.

It also helps to talk candidly about the cultural environment within your company, and more specifically, within your IT group. I've helped more than one vendor understand how my team is set up and how I want their team to fit into that organization. I can see in those meetings with vendors' relationship managers that these details make a difference. The change doesn't come overnight, and there will be some who will never meet your needs, but clearly defining what your company expects gives everyone a chance to try to be what you need.

Advice: Establish Clear Roles and Prepare to Compromise

Raj Datt, Senior VP of Global Operations & CIO, Aricent

Trust is key to building a partnership beyond a simple vendor relationship. Identify a single person working for your partners who will act as your advocate. For this, it is best to have some methodology in place. I'm a big fan of Six Sigma, because it requires that you have clear, defined objectives and a means to measure progress. It is imperative that the framework also include roles and responsibilities stating who is accountable and who needs to be consulted or informed. Properly documenting objectives and expectations has been proven to produce higher-quality results time and again.