* Sharing Business Plans: When supply management shares company business plans with suppliers, it provides transparency and insight into the company's future direction and goals.
* Supplier Investment: By understanding the company's plans, suppliers can see the potential long-term benefits of the relationship, encouraging them to invest time, resources, and innovation to meet the company's needs.
* Strategic Alignment: This alignment helps in building stronger partnerships, fostering collaboration, and ensuring that suppliers are aligned with the company's strategic objectives.
* Avoiding Problems: While preventing misunderstandings and setting the stage for discounts are benefits, the primary reason is to demonstrate the value of the relationship to suppliers.
References
* ISM Professional Series: Supplier Relationship Management
* CIPS Guide to Supplier Relationship Management