Keep ‘em coming

12 July 2007

A question posed by a reader:

"My company has a long-term non-contract arrangement with a critical supplier. The supplier is threatening to cease deliveries unless we agree to an immediate 20 per cent price rise for each consignment. What can we do?"

Advisers told us:

• the first thing to do is call a face-to-face meeting to establish the reasons for such a price hike

• try to negotiate a notice period before a price increase applies, to consider the options

• assess the situation quickly – compare prices with sister companies in the group, if you have them, get quotes from alternative suppliers and talk to your peers

What do you think?

LATEST
JOBS
Swindon, Wiltshire
upto £40K base (+ Paid overtime and corporate benefits)
Honda Manufacturing Ltd
Kew gardens, Richmond upon Thames, London (Greater)
£37,000 - £42,500 per annum pro rata, depending on skills and experience
Kew Royal Botanic Gardens
SEARCH JOBS
CIPS Knowledge
Find out more with CIPS Knowledge:
  • best practice insights
  • guidance
  • tools and templates
GO TO CIPS KNOWLEDGE