Benefits of consolidating suppliers novell patchlink licenses not updating
The result is a trading community supported by a number of different solutions from a number of different suppliers on a number of different platforms.
Merger and acquisition adds further to the challenge by introducing the necessity to consolidate an entire new set of B2B systems.
So, because there is a specific task done for each supplier, fewer suppliers will mean fewer tasks done which will mean lower costs.
Some establish Shared Service Centers to provide non-strategic roles such as accounting or HR to the entire organization.
In some cases, a VAN can be working with two separate business units and charging different pricing to different SLAs.
The organization will have to manage a series of different contracts.
It's Procurement 101: the more volume of business you do with a supplier, the higher discounts you should be eligible for.
With the same volume being supplied by fewer suppliers, you should be pushing for and receiving lower prices.