Not being careful enough when negotiating supply contracts…
This is so important especially in today’s day and age. I have already alluded to supply issues, but there are more, and some are surprising.
Often, negotiators try to get goods and services as cheap and quickly as possible. I have been guilty of this too, but think about it this way. Your suppliers are in business – negotiate for value and you will both make money. Remember, they are in the deal for profit, as is your business. Cut a supplier to the bone and you will not get the best resources, and they will be less willing to work with you for a successful outcome – they may even cease to exist, and no one wins in this scenario.
Bottom Line: Negotiate for value, use penalties where necessary, but remember, every business is about making money and those who don’t lose interest or will find other ways to squeeze that profit somehow. Well, there you have it. Whether you are a seasoned professional or new to project management, we hope you found some use from this. But I hope you found a few gems that you can use to ensure that your next project is a success!