This can be counter-productive as it alienates suppliers and forces them to submit low tender bids, which will more often than not have to be revised upwards to protect profit margins.
Instead, it is in the interest of all parties to build collaborative relationships that protect the profit margins of all across the supply chain.
In this way, all parties can be financially incentivised to identify cost savings. This provides a more effective solution for all.
Dr Neil Jarrett
CWC UK Limited