In this article we discuss the value of a company and why we believe this is represented by its employees and suppliers.
We begin the article by drawing inspiration from a famous quote by the great Philip Kotler “It is customers who are in short supply, not goods and services.”
If we want to win in the market, we have to win over our competitors.
The most important thing in a company are the employees and suppliers, even more than the customers.
A harsh, almost crazy statement. It comes to mind that, without customers, there is no company either.
There would be no reason to make a particular product or service.
Very true, in spite of this, I firmly believe that employees and suppliers are more important than customers.
The excellence of a company depends on the excellence of all those who directly (employees) or indirectly (suppliers), contribute to the design, development and production of a given product or service.
Regardless of the type of the same, even in the case of mass market products or services.
A practical example?
The Rossi & Rossi company specializes in the production of “iron.”
To increase production and margins, continue to leverage your suppliers, asking for discounts and payment deferrals.
Inevitably, sooner or later, the quality of their service or supply will drop.
Rossi & Rossi will thus discover that, a defective bolt worth 2 cents, can make its product precarious or unsafe.
This will lead to a decline in customer confidence and an inevitable decline in sales and margins.
How much did that bolt really cost at Rossi & Rossi?
Clearly I reported a borderline case.
Unfortunately, a defective semi-machined can always happen.
Clearly, if we keep the right margins to our suppliers, we give them the opportunity to improve and integrate quality control processes as well.
To the total benefit of our company and our customers.
As the great Philip Kotler says.
We live in a Customer economy where the Customer is king.
This is the result of overcapacity in production.
It is Customers, not goods, that are in short supply.
Businesses must shift their focus from product creation to Customer retention.
Products come and go.
The challenge of the enterprise is to retain Customers longer than it retains products.
If we want to grow our businesses, it is essential, day after day, to improve the shopping experience for our customers.
We can only achieve this goal if we surround ourselves with great people.
Only if our team consists of “excellence.”
Therefore, collaborators and suppliers are more important than the customers themselves.
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