Don’t Shoot the Messenger

Background

Billings Equipment Inc. started to produce a new line of earth-moving machines for the construction industry in Seattle in June 1998. Jeff Martin a supply management engineer, tried to reduce 10% of costs and cycle times of his suppliers with throwing off cooperative problems in two years (Wisner, Tan & Leong, 2011). Billings Equipment Inc. which already kept good ethical treatment of suppliers aimed for a 10 percent reduction with major suppliers in order to make profit.

If you were in Jeff’s position, what would you have done to preserve relationships?

Partners have to communicate each other and to take actions smoothly in order to aim for a company’s goals. There are several ways to keep positive relationships between them such as building trust, shared vision and objective, mutual benefits and needs, commitment and top management support, change management, information sharing and lines of communication, and performance metrics.

Building Trust

Building trust is one of the important elements to preserving relationships. Wisner, Tan and Leong (2011) stated that one of the ways to preserve relationships is building trust. Trust is always important for any alliance. Partners should establish trust not only at the higher-ranking management level but also at all management levels. Trust allows them to share clear information, offer time and resources in order to understand each other. They will be able to get a job done with trust. Building trust is one of the effective ways to preserve relationships.

Shared Vision and Objectives

Shared vision and objectives is also one of the important elements to preserve relationships. Wisner, Tan and Leong (2011) explained that speculations between partners, reasons and goals of them, and clear plan should be shown by all partnerships. In addition, the vision and objectives should be same among the partners. If they have the same vision and goals, the chance of success will definitely increase. Shared...