Dealers Working Together | DWT

240 views
207 views

Published on

Independent Office Supply & Furniture Dealers Working Together to Take Back the "Big Box" Retailer Business

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
240
On SlideShare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
1
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Dealers Working Together | DWT

  1. 1. DWT Dealers Working Together Complete Office North Carolina USA November 20, 2009
  2. 2. <ul><li>Dealers Working Together </li></ul><ul><li>Margin Management </li></ul><ul><li>Vendor and Key Supplier Management </li></ul><ul><li>Marketing Management </li></ul><ul><li>Recruiting and Hiring Management </li></ul><ul><li>Training and Coaching Management </li></ul><ul><li>Customer Management </li></ul><ul><li>Proforma </li></ul>
  3. 3. <ul><li>Complete Office </li></ul><ul><li>North Carolina USA </li></ul><ul><li>Margin Management </li></ul><ul><ul><li>a. Negotiation </li></ul></ul><ul><ul><li>[Primary Wholesaler] </li></ul></ul>
  4. 4. BACKGROUND RESEARCH <ul><li>Vendor Intelligence </li></ul><ul><ul><ul><ul><li>BPIG – TRIMEGA – Major Suppliers </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Primary Wholesalers – SP – US </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Secondary & Specialty Suppliers </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Support & Other Key Vendors </li></ul></ul></ul></ul><ul><li>Top Gun Contacts = Best Deal </li></ul><ul><li>Strengths & Weaknesses </li></ul><ul><li>Opportunities & Threats </li></ul><ul><li>Hunger For Your Business </li></ul><ul><ul><ul><ul><li>Findings </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Conclusions </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Recommendations </li></ul></ul></ul></ul>
  5. 5. ACCOUNTS PAYABLE REVIEW <ul><li>Master List of Vendors </li></ul><ul><li>Identify All </li></ul><ul><li>Their Products & Services </li></ul><ul><li>Contract Terms </li></ul><ul><li>How Much Spent </li></ul><ul><li>Conclusions & Recommendations </li></ul>
  6. 6. CONSOLIDATE CONTRACTS <ul><li>Estimate Spend With Each Vendor </li></ul><ul><li>10% Out of Each “Strategic” Supplier </li></ul><ul><li>Conclusions & Recommendations </li></ul>
  7. 7. VENDOR SELECTION <ul><li>Clear Answers to “Why” </li></ul><ul><li>Performance Metrics* </li></ul><ul><li>Contract Terms </li></ul><ul><li>“ Vendor’s Shoes” Formal Review </li></ul><ul><li>DWT Proforma </li></ul><ul><li>Selection Committee </li></ul>
  8. 8. *PERFORMANCE METRICS <ul><li>Metrics Are The Foundation </li></ul><ul><ul><li>You get what you measure, not what is in the contract. </li></ul></ul><ul><ul><li>Choose metrics that support your goals and reward the behavior you want to encourage. </li></ul></ul><ul><ul><li>--Dealers Working Together </li></ul></ul>
  9. 9. GOAL SETTING <ul><li>Target Costs </li></ul><ul><li>Compare To Industry Top Competitors </li></ul><ul><li>Set Your Goals </li></ul><ul><li>“ Favored Customer” Provision </li></ul><ul><li>Get All in Writing & Org Chart </li></ul><ul><li>Prepare to Negotiate </li></ul>
  10. 10. NEGOTIATIONS <ul><li>Never Offer To Split The Difference </li></ul><ul><li>Get Them To Split The Difference </li></ul><ul><li>More For Your Money </li></ul><ul><li>Not Budging Enough On Price? </li></ul><ul><li>Ask For Extra Services & Support </li></ul><ul><li>Lowest Price Not Always The Best Price </li></ul>
  11. 11. KILL THEM WITH KINDNESS <ul><li>Calm, Polite & Personable Negotiations </li></ul><ul><li>Build Relationship While Negotiating </li></ul><ul><li>They Will Feel Good </li></ul><ul><li>And Go The Extra Mile </li></ul>
  12. 12. WE MAKE THE FIRST OFFER <ul><li>DWT Set The Anchor </li></ul><ul><ul><ul><ul><li>Conversation Will Follow </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Force Vendor To Justify Any Changes To Anchor </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Stick To Initial Terms </li></ul></ul></ul></ul><ul><li>Never Say Yes To Their First Offer Back </li></ul><ul><ul><ul><ul><li>Could We Have Done Better? </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Something Must Be Wrong? </li></ul></ul></ul></ul><ul><li>Cannot Say Yes To First Offer Back </li></ul>
  13. 13. FRAME THE NEGOTIATIONS <ul><li>Potential Loss vs. Potential Gain </li></ul><ul><ul><ul><ul><li>Point Out What Vendors Stand To Lose </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Not Doing Business With You </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Benefits Of Doing Business With You </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Support Vendors </li></ul></ul></ul></ul><ul><li>Alternatives: Greatest Source of Power </li></ul><ul><ul><ul><ul><li>Have Alternatives Ready </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Best Possible Deal? </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Might Go Elsewhere = We Have Options </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Prepared To Walk Away </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Watch Their Offer Improve </li></ul></ul></ul></ul>
  14. 14. PATIENCE IS OUR VIRTUE <ul><li>Longer The Negotiation = The Better </li></ul><ul><li>Get What We Want </li></ul><ul><li>Little Bit At A Time “Tug Boat” Strategy </li></ul><ul><li>Decision to Move Forward . . . </li></ul><ul><li>DWT </li></ul><ul><li>DEALERS WORKING TOGETHER </li></ul>
  15. 15. SILENCE IS GOLDEN

×