Learning Center | PlanetBids

How to Grow Your Procurement Network Fast

Written by Tammy Rimes, MPA | Nov 5, 2024 8:34:26 PM

Expand Your Vendor Pool

Your procurement process might be functioning, but is it really maximizing your network? If you’re constantly engaging with the same vendors or struggling to expand your outreach, you might be missing out on key opportunities. It’s not just about filling quotas—it’s about ensuring diversity, compliance, and efficiency.

Let’s dig into why your procurement process isn’t reaching a larger network and what you can do to change that.

1. You’re Stuck in the Same Vendor Loop

If you keep reaching out to the same vendors time and time again, you’re in what we call the “vendor loop.” While these relationships might be familiar, relying on the same contacts can limit competition and reduce the chances of finding better deals. Not to mention, it cuts down on vendor diversity.

How to Change This: Use an eProcurement platform that opens the doors to a wider range of vendors. PlanetBids, for example, gives you access to a vast network, allowing you to connect with new, pre-vetted vendors that meet your specific criteria.

2. Lack of a Centralized Vendor Database

Tracking down vendors through scattered spreadsheets or old emails? That’s a major roadblock. Without a centralized system, it’s hard to maintain an active, diverse pool of vendors, which means your network remains smaller than it could be.

How to Solve This: An eProcurement platform provides a centralized, easy-to-use vendor management system. It helps you track vendor performance, manage their information in one place, and even recommend new vendors based on past needs and criteria. No more digging through emails—everything is in one organized location.

3. Vendor Requirements Aren’t Clearly Defined

Sometimes, the issue is as simple as unclear vendor requirements. If you’re not sure what you need from your vendors—or if they aren’t sure how to work with you—communication breakdowns happen. This can result in fewer vendors engaging with your bids or proposals, shrinking your pool of options.

How to Fix It: When you define your requirements clearly from the start, vendors know exactly what’s expected. eProcurement platforms like PlanetBids allow you to set clear, standardized criteria, making it easier for vendors to match your needs and increasing your chances of expanding your network.

4. Lack of Engagement and Communication Tools

Even if you have a good network of vendors, are you engaging with them effectively? If communication is inconsistent or unclear, vendors might drop out, get frustrated, or simply not engage as much as they could.

How to Improve This: With an eProcurement platform, you can streamline communication through a centralized hub. You can keep vendors updated in real-time, easily send out notifications about bid opportunities, and follow up with a few clicks. Consistent, clear communication makes you more reliable to vendors and encourages them to stay engaged.

5. Your Vendor Outreach Isn’t Proactive Enough

If you’re only reaching out to vendors when you absolutely need something, you’re operating reactively rather than proactively. This keeps your network smaller because you’re not building relationships with vendors before you need them.

How to Turn It Around: Use an eProcurement system that encourages proactive vendor engagement. By regularly sending out opportunities and maintaining ongoing communication, you’ll keep vendors interested, even if there isn’t an immediate need. A strong relationship now can lead to quicker responses and better deals later.

Want proof that expanding your vendor network is possible? See what others have to say about PlanetBids' impact. Read Testimonials.

How eProcurement Helps You Reach a Larger Network

So, how exactly can an eProcurement platform like PlanetBids help you fix these issues and reach a broader network? Here’s how:

1. Automated Vendor Matching

PlanetBids uses intelligent vendor matching algorithms to recommend vendors based on your specific needs. It opens the door to new suppliers that you might not have even known existed, expanding your reach.

2. Centralized Vendor Database

PlanetBids gives you a robust, centralized vendor database that keeps track of all your vendor information in one place. You can quickly add new vendors, monitor performance, and engage with them—no need to hunt down contacts.

3. Better Communication Tools

Say goodbye to manual emails and phone calls. With PlanetBids, all vendor communications happen within the platform, making it easy to send updates, bid invitations, and follow-up messages. The more efficient your communication, the bigger your network grows.

4. Analytics to Identify Gaps

Sometimes, the key to expanding your network is understanding where the gaps are. PlanetBids offers analytics and reporting tools that show you where you can improve vendor outreach, what industries are underrepresented, and how you can proactively address these gaps.

 

Don’t let your procurement process keep you stuck with the same vendors. Reach out to us today to learn how PlanetBids can help you expand your network and drive better results.