The Relationship Design Advantage
From Metrics to Meaning.
What we hear
Managing suppliers with SLAs and scorecards but not getting the behaviour you want?
A different way to see it
Metrics measure what already exists. Relationships create what could exist. The design of the relationship shapes the value it produces.
How it works
We design the relationship model, governance, incentives and cadence before contracting, so the commercial construct enables collaboration, not compliance.
The outcome
Supplier relationships that generate value neither party could create alone, with the governance to sustain it.
How it connects
Sets the frame for Negotiation, Contracting and Supplier Development. Everything in Execution flows from how the relationship is designed.
Questions about Relationship Design
What is Relationship Design in the Collaborative Procurement Operating Model?+
Relationship Design is Domain 06 of the Strategy phase (Design). Metrics measure what already exists. Relationships create what could exist. The design of the relationship shapes the value it produces.
How does Practical Procurement approach Relationship Design?+
We design the relationship model, governance, incentives and cadence before contracting, so the commercial construct enables collaboration, not compliance.
What outcome should procurement leaders expect from the Relationship Design advantage?+
Supplier relationships that generate value neither party could create alone, with the governance to sustain it.
How does Relationship Design connect to the rest of the operating model?+
Sets the frame for Negotiation, Contracting and Supplier Development. Everything in Execution flows from how the relationship is designed.