Level the Playing Field When Negotiating Long-Term Vendor Contracts
At many banks and credit unions vendor contract negotiation and management is assigned to someone who also has many other responsibilities. With more vendors in the marketplace; more competitive pressure to stay current with the latest innovations; and more complexity in the terms and conditions, this approach can impact the bottom line of an organization by more than nine percent on average.
Bank and credit union representatives are looking for ways to be better equipped to negotiate multi-year, mission-critical vendor contracts. This white paper provides seven best practices that banks and credit unions can use to ensure their representatives negotiate long-term vendor contracts that are in the best interest of the organizations.
Key points include:
- What important questions to ask during vendor contract negotiations;
- Where to find proper benchmarking sources;
- Why institutions should account for future growth;
- How the cards are stacked in favor of the vendor.