A team mentality must be brought to the contract development and negotiations phase. In too many companies, outsourcing contracts are left to purchasing, legal, and senior executives, then assigned to the managers and staff who will be working with the vendor on a day-to-day basis.Operational staff and process owners don’t always understand the complexities of the initial contract. It is signed and filed – end of story. However, the question remains… is the contract still measured for performance, ensuring nothing which is critical during the life of the contract has been overlooked or omitted?Management teams can deal with hundreds of contracts at once, so it is easy for a contract term, condition, or renewal to slip through the cracks.
Cash Is King For Senior Living Properties RESOURCE: https://seniorcare.levinassociates.com/2018/06/15/cash-is-king-for-skilled-nursing-targets/ Recently,…
It’s not just understanding billing, businesses can try to sort out the fees, charges, taxes and discounts (if any) and match with contractual agreements but the true challenge is finding the TIME. Organization(s) are using their valuable resources to sort out billing on a monthly basis. What is that costing? Once discrepancies are found the same resources are removed from other task(s) to HUNT down the appropriate representative to research the error, make adjustments and refund the credits. AND with the absence of alerts for future billing variances and errors the same cycle continues MONTH over MONTH.
Your company starts to grow, and you need more technology to keep up with additional staff, customers and to help improve process. You are aware of the efficiencies and cost savings made possible by new technologies and are upgrading their infrastructures as a result.
But are you aware of How Purchasing more Technology can lead to Cost Creep?
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