Cost Conscious Reasons for Global Companies to Work with Single or Small Groups of Vendors


Typical multi-vendor pain points are the ability to service customers efficiently and effectively.

“The more vendors that are in the kitchen, the harder it is to cook a meal.”


The preference is to work with companies that have a consistent service delivery model and the same predictable quality of service.


While some may see multiple vendors as decreasing risk, it can actually increase risk and complicate the management of SLAs and responsibilities when an issue needs to be managed. Not to mention the complication of multiple vendor touching key components of Customer Service, particularly if there is possible risk of litigation involved.

Smaller companies working with Global Companies are agile. Their listing of On Demand Services is vast, and their Global Clients are so important to them that their attention to detail is on high alert.



Often, people come and go within an organization. The Strategic Vendor then becomes the ‘continuity’ that can get you over a hurdle. If you are dealing with numerous suppliers and vendors, it is inevitable that a key person will leave the project or the company, making both internal change and external change difficult to manage with great risk of holding on to your Brand Advocates.


All of these factors combined create increased costs for Global Companies, many of which are not realized until much further down the road.


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