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Manage stage

Read about implementing, managing and renewing an arrangement with a supplier.

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Sign the contract is the start of your relationship with the supplier, not the end.
Help deliver value for money and drive the best from the supplier relationship within your arrangement.
Manage the arrangement with best practices in sustainable procurement.

Manage supplier relationships

Signing an agreement with a supplier isn’t the end of the procurement process. It's the beginning of your ongoing relationship with them.

You need to manage the contract to make sure the supplier delivers what they have committed to. Strong supplier relationships can also deliver value and benefits beyond the contract.

M1 Implement arrangement

Between signing the agreement and starting the project, aim to lay the basis of a successful relationship with the supplier. To do this, you should:

define the right level of internal resources and management, depending on the importance and complexity of the arrangement
ensure the smooth transition of services, especially if it's a new supplier
work with the supplier to establish systems and processes, and determine who’s responsible for key tasks
engage stakeholders to communicate the new arrangement to them.

M2 Manage arrangement

Your goal should always be to deliver value for money and drive the best out of the supplier relationship. To do this, you should:

maintain the right level of governance and resources, depending on the importance and complexity of the arrangement
coordinate with the supplier and key stakeholders to manage performance, drive continuous improvement and encourage innovation
track and report on the benefits to demonstrate that the supplier is delivering value for money.

M3 Renew

You should be considering your strategy for the next arrangement throughout the manage stage. This means constantly planning for renewal.

By continually assessing and improving your procurement processes, you’ll help provide the best possible outcome for the next arrangement.

Before the contract expires you should:

open a dialogue with the supplier and internal stakeholders on the strengths and weaknesses of the existing contract
begin a demand and market analysis that will inform your next procurement strategy.