CIO: The Vendor Bank

Here’s an idea to ensure your vendors have genuine ‘skin in the game’. Take their money. That’s right let them finance your capex requirements.

Most of the big players are sitting on cash. They know they will get a better return on investing in you than leaving it in a savings account.

If it serves you well, then test their commitment by using the cash to buy their rivals' products.

That will show who is genuinely committed to helping your organisation.

Such vendors should be removed from your preferred supplier list. And invited into your partner circle.

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