Best Practices for Working With Vendors and Suppliers

Agenda

This Is a Business Relationship

• You Are Representing Your Company or Agency
• Your First Priority Should Be to Look out for the Best Interests of Your Employer
• Your Vendor Will Be Looking out for Their Best Interests
• Avoid Getting Into a Personal Relationship With Your Supplier or Their Representative

Coming to Terms With Your Vendor

• Make Your Vendor Aware of Your Company or Agency Purchasing Terms and Conditions
• Bind Your Agreements With Vendors Using Your Written or Published Terms
• Avoid Using Agreements Drafted by Your Vendor
• Review All Vendor Terms and Conditions of Sale, Warranty, Liability, Indemnification, etc.

Limit the Risk to Your Organization

• Require Insurance of All Appropriate Types
• Require Certifications or Licenses If Required
• Provide for Penalties for Unsatisfactory Performance
• Provide Convenient Exit Clauses for Your Organization
• Do a Vendor Responsibility Check

How to Increase the Quality of Your Business Relationship With Vendors

• Know What Products and Services They Provide
• Offer Them Open and Competitive Solicitations
• Give Them Adequate Time to Respond to Solicitations
• Monitor Their Performance
• Pay Them Timely in Accordance With Your Published Payment Terms

Case Studies

• Vendor Is Doing Work That Puts Your Company at High Liability Risk
• Vendor Is Not Providing Quality Transportation Services
• Long Time Vendor Is Protesting Their Loss of Business
• Monitoring Supply Vendor Leads to More Flexibility to the End User
• Poor Results Are Discovered After the Vendor Has Left the Job Site

Credits

Faculty

Kenneth M. Jones

• Procurement specialist (part time) providing training to new procurement staff at the University at Albany, SUNY
• Previously served as the Assistant Director of Institutional Services at the University at Albany, SUNY, for 15 years
• Has trained many university staff on state procurement rules and regulations as well as the Research Foundation for SUNY (a non-profit organization) rules and regulations working with various granting agencies
• Provided procurement procedures, training, and transactional review for a research foundation for a SUNY grant funded procurement team in Nairobi, Kenya
• Established online ordering processes with vendors ranging from office supplies to lab supplies
• More than 30 years of experience working in the public and nonprofit procurement field
• Previous purchasing experience included procuring commodities, services, and construction for the departments on campus
• Conducts regular seminars, webinars, and workshops on various procurement topics
• Past purchasing assistant for the New York State Office of Taxation and Finance
• Can be contacted at 518-875-6854 or [email protected]