Purchasers happy to work together

28 March 2007

29 March 2007 | Paul Snell

Most buyers would work with another firm to get a better deal, even if it is a competitor.

And there is almost unanimous support for collaboration in both the public and private sector in non-competitive situations.

According to the latest SM poll of 100 buyers, 92 per cent would collaborate with other organisations, but 18 per cent of those gave a proviso: that it didn't involve a market rival.

Indirect spend was the primary target of collaborative deals, as it encompassed the most commonly purchased items, such as office supplies. But some private sector buyers said they had worked with competitors to buy more complex items such as machine equipment.

Enabling collaboration was considered the hardest aspect. "It's a lot more difficult to establish trust with your closest competitor," said Tony Hall, head of the Welland Procurement Unit, a collaborative shared service centre.

SMmar2007

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