Have you a supplier service agreement?
Have you negotiated with your primarily suppliers on the levels of service and responsiveness they will offer to you. Here's some guidance on what topics you should negotiate and agree... and write down and sign.
Prime Supplier Specification Sheet
We value our relationship with you as a Prime Supplier of ours. To assist you in determining the cost to service our account, please consider the following factors, as we would like to agree specific terms with you:
We will want deliveries on the following days:
_ Monday _ Tuesday _ Wednesday _ Thursday _ Friday _ Saturday _ Sunday
We will accept deliveries at the following times: (check all that apply)
_ Before 8am _ 8am – 11am _ 11am – 1pm _ 1pm – 5pm _ After 5pm
ORDER LEAD TIME
We will place our orders _ the same day _ 1 day before _ 2 days before _ 3 days before _ week before we expect delivery.
We recognise that occasionally we may run out of stock of fast moving items and so reserve the right to request same day delivery; we will not abuse this priviledge.
METHOD OF ORDERING
We will place our orders by the following means:
_ By telephone directly to your company
_ By giving the order to your sales representative
_ By electronic transmission directly to your company
and we expect order confirmation (confirmation number/ written confirmation/electronic confirmation) (immediately / within the working day); with a confirmation that all stock is available and is to specification and agreed pricing.
DESIRED CREDIT TERMS
We would like to do business with you on the following terms:
_ COD _ Net 7 days _ Net 14 days _ Net 30 days
_ Other .
We recognise the importance of cash-flow for all business, should for unforseen circumstances we are unable to meet these terms with you, we will contact you to temporarlily extend our credit terms. When we have built up a relationship with you we do not expect this to be a problem. We recognise that if due to our own fault we miss a payment we understand that our terms will be reduced for three months and then returned to our agreed level of credit.
To enable you to plan your service, the seasonality of our business is approximately as follows:
Jan – Mar %
Apr – Jun %
Jul – Sep %
Oct – Dec %
We expect to give the prime supplier % of our business in those product categories they serve. And we expect you to hold adequate stocks of our primarily brands/products.
Where quality/specifications are equal, we prefer to use __ house brands ___ international brands.
We (expect / do not expect) to be ordering items you would not normally carry in your normal inventory.
We ( will / will not) permit automatic substitutions when an item we order is not in stock. Where you are out of stock or unable to deliver, we expect you to inform us (immediately after our order / within one day of ordering) that you can not supply so that we can order through other suppliers. If you are unable to carry agreed amounts of agreed special items, we regret we may need to pass some or all of our business to an alternate supplier.
We appreciate doing business with fellow professionals and will support businesses that support ours.