Operational Advantages to Clearly Defined Scopes

Operational Advantages to Clearly Defined Scopes

Operational Advantages to Clearly Defined Scopes

OVERVIEW

To remodel your building means to change the structure’s original appearance to evolve and adapt to the new purpose and function of that structure.

The benefits of launching a remodel program are apparent. You could be redefining your sales floor to increase revenue. Maybe you are initiating a much-needed refresh as your facility has become stale. Regardless of the motivation, a strategic plan to lift an initiative of this size is critical.

However, before beginning a construction project of this kind, there are several things to be aware of to help reduce costs, improve project timelines, and most importantly, avoid costly delays.

What's in Your Program?

Let’s start with the basics. We already know that the Scope of Work (SOW) details the plan explaining a project’s expectations to a team completing a particular construction contract. Any well-written scope defines the who, what, when, where, and how of the project.

Your construction partner’s responsibility includes scoping out required materials, equipment, project milestones, and planning deliverables—so the SOW must be precise, clear, and complete.

How does this apply to your remodeling project? Let’s review the following areas:

    • Program Development
    • Permit Management
    • Demolition
    • Live Store Remodels

When you partner with the right national contractor, all the above bullet points are pretty much handled accordingly to each remodeling project. You won’t have to worry about construction permit complexities or any other details required for such a task.

For instance, there are different methods to consider for every program because no one program fits each facility. If a large multi-site retail chain wants a full remodel/refresh across its portfolio but still wants to maintain its business operations, its program has to involve a Live Store Remodel Program.

Not only will the national partner already have the skills to demolish your space appropriately for your brand’s function, they’ll also have the unique skills to complete the task without disrupting business operations required for any live remodel project.

Call Ferrandino & Son at (866) 571 – 4609 or email sales@ferrandinoandson.com to learn more about our construction program experience.

Best Practices

It’s crucial to vet your national GC partners thoroughly before choosing to work with them. Asking the finer details about their business practices and about the remodel project itself can help you prepare them and yourself for your upcoming improvement project. 

You want to be sure that your national partner is well-equipped to handle the task and acknowledge your budgetary needs. More so than ever, your commercial remodels are not just about the beauty and business functionality but includes the sustainability and the efficiency the remodel provides to the brand.

Best practices incorporate proper communication, project experts, planning, and investment prospects to create the best outcomes for your remodel program.

Better Outcomes

Achieving the best operational advantages from your remodeling project occurs through maintaining a clear style of communication. There are several check-points contractors can monitor to make a positive difference.

Whether you’re an experienced contracting firm or a company new to the industry, keeping a consistent workflow standard should be a standard for any part of the job.

Look and invest in contractors that show a range of capabilities and that show good management habits from the very beginning of the remodeling process so that you can receive the best outcomes. 

CONTACT US

Looking for the right partner to help manage your construction remodels? Contact us now to learn how we can help kick-start your project goals today!  
Phone: (866) 571-4609

Maximize the Value of Your SRM

Maximize the Value of Your SRM

Maximize the Value of Your SRM

A 2017 Global SRM research reported that your ‘soft skills’ are at the core of building your Supplier Relationship Management (SRM).

Whether you need a whole dedicated department to manage vendor relationships or a dedicated SRM Manager, having the right fit of skills and team members in your organization matters.

Typically, when streamlining the SRM process, industry leaders create documented procedures that assist their teams. For example, in large organizations, managing SRM processes include anything from flowcharts, Standard Operating Procedures (SOPs), or any policy documents and agreements that cover all the obligations between participating parties.

When an organization has a structured approach towards their SRM tactic, there’s a higher chance of having a more favorable level of engagement from suppliers, which creates stronger bonds with your vendors while maximizing the value of your SRM.

It’s essential that your SRM focus is strategic and focused on growth, rather than a reactive focus.

Reactive vs. Strategic

It’s best practice for management to “make things happen” in order to take advantage of their opportunities. For this to happen, you must shift your perspective from an operational view of just ‘purchasing’ to a strategic perspective of supply management.

It’s also essential that your SRM focus is strategic and focused on growth, rather than a reactive focus. For example, if you’re managing your SRM through the perception of responding to a negative situation, this is a reactive approach.

To be strategic is to manage your SRM through planned agreements before the supplier signs his/her name. Planned agreements ensure the company’s competitive advantage overall and lead to more successful relationships even in the early stages, instead of consuming time and resources on figuring out how to improve a scenario or micro-managing unreliable suppliers.

Call Ferrandino & Son at (866) 571 – 4609 or email our business development team at sales@ferrandinoandson.com to learn more about our relationship initiatives.

Create the Value You Want

All your suppliers are necessary factors for your company. They drive a central role in supporting your revenue. Thus, working with reliable suppliers is crucial to your business’s growth scale.

Unreliable suppliers can create problems in your workflow and can negatively impact your clients. Sometimes it’s better to pay a higher value to do the better service, which invests less time to micro-manage, as mentioned.

Additionally, paying attention to removing biases and personal feelings from a business agenda is also important. Choose from the angle of being efficient, and realize you’re striving to create the value you want.

A well-documented Supplier Relationship Agreement will reduce the possibility of confusion or disputes.

Be Detail Oriented

Details matter when it comes to communicating with your vendor. Supplier Relationship Agreements (SRAs) are necessary, so be detail-oriented and write down everything that comes from your partnerships. Such as service descriptions, prices, delivery of services, and payment terms.

A well-documented SRA will reduce the possibility of confusion or disputes. It’s often a good idea to create a flowchart or deck to explain your team’s process, so information is easier to find if something goes wrong in the workflow.

Having an SRM process is essential but getting everyone in your organization to participate is critical. Every penny saved goes straight to your bottom-line.

Following best practices and using organized methods will help you streamline your SRM practices, giving your team members clear guidelines for purchasing and allowing them to spend more time on their key responsibilities.

CONTACT US

Are you looking for the right partner to build a great connection? To learn more about Ferrandino & Son, Inc. contact us now and let the connecting begin! 
Phone: (866) 571-4609

Strategizing Your Supply Chains For Better Business Alliances

Strategizing Your Supply Chains For Better Business Alliances

Strategizing Your Supply Chains For Better Business Alliances

What exactly is strategic sourcing, and why’s it such an important aspect of building growth and strategy?

Strategic Sourcing refers to the process of developing supply channels at the lowest possible total cost, rather than focusing on just the lowest purchase price. It may sound simple enough, but strategic sourcing is a broader term, which requires a specific breakdown.

The key elements that make up strategic sourcing involve improving the tactical day-to-day tasks within your procurement department, such as sourcing items and negotiating pricing and terms.

In our continuing series of developing organically driven business-relationships, we further identify what strategic sourcing means to you and how you can use it beneficially when finding aspects that factor into your company’s procurement cycle.

Having a variety of resources or alternatives puts you in a better position to build competitive pricing and terms.

Identify and Master Your Supplier Contracts

Don’t place all your eggs in one basket. At times, it’s probable to have some scenarios where it pays to invest in one source, making sense operationally and financially.

For example, identifying at least one expert supplier is good practice, but it’s more economical to have multiple qualified suppliers for a service. Understandably, having multiple qualified suppliers provides options for vendors who are occupied. Having a variety of resources or alternatives puts you in a better position to build competitive pricing and terms.

Consider developing a system of Preferred Supplier Agreements (PSAs) for your key vendor partners whenever possible. Connecting your vendor contracts with your supplier builds a stronger business alliance between vendors contracted to offer services (at the prices and terms agreed). With a vendor contract in place, it’s easy to track committed payments and materials against the master contract and add support towards managing the approval process.

Call Ferrandino & Son at (866) 571 – 4609 or email our business development team at sales@ferrandinoandson.com to learn more about our relationship initiatives.

Create a Better Savings Buzz

Note that every dollar your company saves during the procurement process gets deposited towards your bottom line. A smart approach to sourcing, pricing, and gaining greater contractual terms is by thoroughly looking for savings at every touchpoint.

For example, consolidating your procurement tasks across your organization serves to streamline lower expenses. Your winning outcomes can be fully leveraged to implement simplified procurement processes and supplier management costs when you have a higher transaction volume.

Creating a genuine partnership involves encouraging your vendors to focus more on increasing their quality and service instead of focusing on rigid calculations and metrics.

Connection Is King

From a standard perspective, vendors are necessary agents between you and the services you’re procuring, which can be a contentious relationship at times. This relationship is broken down to pay the lowest price and charge the higher amount to ensure profitability.

However, your business dynamics can change from being combative to a more collaborative relationship, but only if you consider your suppliers as partners in your business.

Creating a genuine partnership involves encouraging your vendors to focus more on increasing their quality and service instead of focusing on rigid calculations and metrics. By doing so, the overall tone of the relationship gains confidence, which then prompts your vendors to renew contracts – knowing they have a better-guaranteed sales agenda.

How you manage your procurement processes, from acquiring skilled labor to streamlining your contracts, all play a valuable part in creating better business relationship goals between you and your suppliers.

Partnerships start from open and fair discussions and acknowledging the terms that were contractually agreed upon. When strategizing with your clients about sourcing new items, listen to their recommendations, and forecasts to lower costs.

Shape your supply chains for better alliances.

CONTACT US

Are you looking for the right partner to build a great connection? To learn more about Ferrandino & Son, Inc. contact us now and let the connecting begin! 
Phone: (866) 571-4609