Relations between supplier and customer: Difference between revisions
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The relationship between the [[customer]] and the [[service]] provider may be classified according to L. Blumberg [2002]. This [[classification]] reflects the relationship between the provisions concerning the effects of the implementation of [[outsourcing]], and the [[needs]] for the development of relationships with service provider. Expectations regarding the cooperation depend on degree of involvement of entities in the development of the activities of the [[company]], and first of all depend on the types of outsourced services. Decision about the choice of [[outsourcing]] in this area can be affected by changing conditions of the [[market]] as well. Classification proposed by L. Blumberg reflect changes in the approach to cooperation in the form of [[outsourcing]] based primarily on making transactions between the company and the service provider. | |||
The relationship between the [[customer]] and the [[service]] provider may be classified according to L. Blumberg [2002]. This classification reflects the relationship between the provisions concerning the effects of the implementation of [[outsourcing]], and the [[needs]] for the development of relationships with service provider. Expectations regarding the cooperation depend on degree of involvement of entities in the development of the activities of the [[company]], and first of all depend on the types of outsourced services. Decision about the choice of [[outsourcing]] in this area can be affected by changing conditions of the [[market]] as well. Classification proposed by L. Blumberg reflect changes in the approach to cooperation in the form of [[outsourcing]] based primarily on making transactions between the company and the service provider. | |||
'''Table 1. Characteristics of the relationship between the [[customer]] and [[outsourcing]] service provider''' | '''Table 1. Characteristics of the relationship between the [[customer]] and [[outsourcing]] service provider''' | ||
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| Cooperation based on the improvement of services provided by the service provider | | Cooperation based on the improvement of services provided by the service provider | ||
|Cooperation based on the mutual commitment of resources for the [[customer]] | |Cooperation based on the mutual commitment of resources for the [[customer]] | ||
| Cooperation (often as a result of the spin off) based on the joint investment | | Cooperation (often as a result of the spin off) based on the joint [[investment]] | ||
|- | |- | ||
|'''Main prerequisites of cooperation''' | |'''Main prerequisites of cooperation''' | ||
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| Use of favorable resources, [[technology]] and experience in the field of outsourced services | | Use of favorable resources, [[technology]] and experience in the field of outsourced services | ||
| Striving to strengthen the [[competitive position]] of [[customer]] | | Striving to strengthen the [[competitive position]] of [[customer]] | ||
|Commitment of service provider to creation of value for customers | |Commitment of service provider to [[creation of value]] for customers | ||
The use of specialized skills in order to achieve the benefits of new ventures | The use of specialized skills in order to achieve the benefits of new ventures | ||
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|'''Formal monitoring of the service provider''' | |'''Formal monitoring of the service provider''' | ||
| High level, based on accepted indicators of quality of service | | High level, based on accepted indicators of [[quality of service]] | ||
| Limited to the monitoring of agreed mechanisms for cooperation | | Limited to the monitoring of agreed mechanisms for cooperation | ||
| Based on the goals of cooperation and the benefits gained by the partners | | Based on the goals of cooperation and the benefits gained by the partners | ||
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'' Source: Own elaboration based on: Blumberg, 2002, | '' Source: Own elaboration based on: Blumberg, 2002, p. 78]'' | ||
Summary of forms of cooperation in [[outsourcing]] identified on the basis of L.Blumberg has been shown in the above table. Characteristics of the different types of cooperation, taking into account the characteristics outlined above was supplemented by substantial evidence that guide the client making the decision to initiate cooperation with a specialized service provider. | Summary of forms of cooperation in [[outsourcing]] identified on the basis of L.Blumberg has been shown in the above table. Characteristics of the different types of cooperation, taking into account the characteristics outlined above was supplemented by substantial evidence that guide the client making the decision to initiate cooperation with a specialized service provider. | ||
{{infobox5|list1={{i5link|a=[[Transformational outsourcing]]}} — {{i5link|a=[[Outsourcing]]}} — {{i5link|a=[[Make-Or-Buy Decision]]}} — {{i5link|a=[[Innovation management]]}} — {{i5link|a=[[Strategy wheel]]}} — {{i5link|a=[[Strategic cost management]]}} — {{i5link|a=[[Management company]]}} — {{i5link|a=[[Strategic outsourcing]]}} — {{i5link|a=[[Types of strategies]]}} }} | |||
==References== | ==References== | ||
* Blumberg L., How to Engage In a Strategic Outsourcing Relationship, Pharmaceutical Technology, July 2002 | * Blumberg L., How to Engage In a Strategic Outsourcing Relationship, Pharmaceutical Technology, July 2002 | ||
* Ash, C. G. (2007). ''[https://www.google.com/books?id=e_a5QwnXP_AC Strategic planning and outsourcing]''. Handbook of [[information]] technology in organizations and electronic markets, 245-275. | * Ash, C. G. (2007). ''[https://www.google.com/books?id=e_a5QwnXP_AC Strategic planning and outsourcing]''. Handbook of [[information]] technology in organizations and electronic markets, 245-275. | ||
[[Category:Outsourcing]] | [[Category:Outsourcing]] | ||
[[pl:Relacje między zleceniodawcą i usługodawcą]] | [[pl:Relacje między zleceniodawcą i usługodawcą]] | ||
Latest revision as of 04:37, 18 November 2023
The relationship between the customer and the service provider may be classified according to L. Blumberg [2002]. This classification reflects the relationship between the provisions concerning the effects of the implementation of outsourcing, and the needs for the development of relationships with service provider. Expectations regarding the cooperation depend on degree of involvement of entities in the development of the activities of the company, and first of all depend on the types of outsourced services. Decision about the choice of outsourcing in this area can be affected by changing conditions of the market as well. Classification proposed by L. Blumberg reflect changes in the approach to cooperation in the form of outsourcing based primarily on making transactions between the company and the service provider.
Table 1. Characteristics of the relationship between the customer and outsourcing service provider
| Types of the relationship between client and service provider | Purchases of services | Purchases of services performed with the involvement of the client and service provider | Cooperation based on the improvement of services provided by the service provider | Cooperation based on the mutual commitment of resources for the customer | Cooperation (often as a result of the spin off) based on the joint investment |
| Main prerequisites of cooperation | Solving the problem of excessive costs, poor quality of support services | Use of favorable resources, technology and experience in the field of outsourced services | Striving to strengthen the competitive position of customer | Commitment of service provider to creation of value for customers
The use of specialized skills in order to achieve the benefits of new ventures | |
| Choice of service provider | Choose the cheapest offer, available on the market | To cooperate with the service provider under the negotiated terms | Selection of a service provider who will use specialized resources and skills to improve the competitive position of company | Selection of a service provider who will use specialized resources and skills to improve the competitive position of company | Selection of a service provider who will use specialized resources and skills to improve the competitive position of company |
| The risks and benefits of cooperation | investment risks sharing does no occur, cost reduction in company | costs known, in some cases, the sharing of risks and benefits | risk sharing associated with the activities and distribution of benefits | risk sharing associated with the activities and distribution of benefits | risk sharing associated with the activities and distribution of benefits |
| Joint strategic planning | not present or within a narrow range | involves decisions regarding the use of primary resources in collaboration | bilateral engagement on the basis of recognized partners' capacity to implement planned projects | mutual commitment on the basis of its shared vision of the business | mutual engagement particularly with regard to decisions on new investments |
| Formal monitoring of the service provider | High level, based on accepted indicators of quality of service | Limited to the monitoring of agreed mechanisms for cooperation | Based on the goals of cooperation and the benefits gained by the partners | Realized by analyzing the course of daily cooperation | Average to low-level based primarily on the study of the course of daily cooperation |
| Range of integration of the customer with the service provider | not present or within a narrow range | present in minor range | significant | high | high |
| Level of trust between the customer and the service provider | low | within the limits of the arrangements | high level of mutual trust | high level of mutual trust (based primarily on shared responsibility for the results of the company) | highest level of mutual trust based on shared responsibility for the success of both parties |
Source: Own elaboration based on: Blumberg, 2002, p. 78]
Summary of forms of cooperation in outsourcing identified on the basis of L.Blumberg has been shown in the above table. Characteristics of the different types of cooperation, taking into account the characteristics outlined above was supplemented by substantial evidence that guide the client making the decision to initiate cooperation with a specialized service provider.
| Relations between supplier and customer — recommended articles |
| Transformational outsourcing — Outsourcing — Make-Or-Buy Decision — Innovation management — Strategy wheel — Strategic cost management — Management company — Strategic outsourcing — Types of strategies |
References
- Blumberg L., How to Engage In a Strategic Outsourcing Relationship, Pharmaceutical Technology, July 2002
- Ash, C. G. (2007). Strategic planning and outsourcing. Handbook of information technology in organizations and electronic markets, 245-275.
