Vendor Agreement Management

October 14, 2021

In theory, this type of agreement seems simple: find a supplier who can accomplish a key task or provide necessary goods faster, cheaper, and/or in a higher volume than is reasonable internally to agree on results and costs, and you`re all set. In reality, however, supplier management is a much more complicated prospect. By getting all the manufacturer-related information in one place, you benefit from getting all the necessary information at the same time, which can influence and simplify your decision-making process! For 18 years, David Adler has guided entrepreneurs, executives and organizations through the legal challenges of trademarks, copyright, trade secrets, data protection, information security, marketing and advertising, social media, digital activity, compliance, litigation and commercial transactions. He has in-house consulting experience in managing the legal affairs of industry-leading software providers in the public relations and marketing industry, negotiating and designing enterprise-level software as-a (SaaS) agreements, as well as vendor and third-party contracts, with a focus on proprietary rights. Considering that a McKinsey audit showed that it is common for companies to have tied up to 90% of their revenue to supplier contracts, it is essential that companies properly contract these key relationships. And yet, so many companies don`t: according to a global study, a third of companies don`t evaluate third parties at all before working with them, and 11% don`t even know how many thirds they work. Once the business objectives are clear and the vendor management team is up and running, the next step will be to set up an up-to-date and categorized database with all relevant suppliers and supplier information. . . .