Innovation is a big process
In today’s passionate business environment, sustained innovation is a prolific stage in which an organization service strives to innovate in all aspects of its business comprising of management, division, operations, customer, and supplier. Firms need Supplier/ Vendors to employ all the resources efficiently and effectively to gain a competitive advantage in their business ideas.
As quoted by Albert Einstien “Innovation is doing the same thing over and over and expecting different results.
Theoretically, Innovation means introducing something new into your business.
- Innovation can be defined as a big improvement. For example- Due to some small and incremental changes in demand in the market can be increased by producing all new products and services.
- Whatever form it takes, Innovation is a creative process. The successful exploitation of new idea is crucial to a business. Having a trait of exploiting the resources in order to improve its process and bring new improved products and services thereby increasing the efficiency.
- In this globalized world, local, national and regional business is becoming highly competitive. Consequently, with the advancement in new technologies and trading activities, competition has increased in the business world for the supplier.
Creativity and innovation will create vanguard for international capabilities and requirement for effective business. Specifically, supplier focuses on sourcing the strategies and techniques for continued operations. Also, creativity will involve engaging stakeholder in new, innovative ways new capabilities to the business through external and internal sources.
In today’s global world, competition has increased to a great extent. The successful exploitation of vital resources will enhance and improve the quality of products and services with its profitability. The competitive advantage is one of the significant aspects of the Innovations.
What Competitive Advantage is?
The Competitive Advantage is the condition where an organization makes itself successful than a business which is competing with another thing with the particular thing that makes it.
Competetive Advantage is going to be a really good idea. Companies have to identify the competition outside and the begin to plan strategies according to the competition prevailing in the market and try to make build relationship with outside world. The real shot is to build a relationship with suppliers/vendors which will be preferential for the business.
Try to keep your mind open to the external environment so that you can gather the heap of ideas. Among the various ideas you can choose the best idea and which will make the cost cut.
Well, What is supplier or vendor? You may confuse these two.
To be more precise, Supplier and vendors are the best friends for the business continuity. They supply all the resources for the business continuity. They both are key to success in the business and are used interchangeably. Although, both have same characteristics, the main difference between them is that “Vendor” supplies its products and services to both B2C and B2B. On contrary, “Supplier” supplies his products and services to only B2B relationships. E-commerce vendors are the people who supply software and services which is used to start the most e-commerce business. These people are prominently known for supplying all types of products. The basic function of Online/E-commerce Vendors is supplying the consumable and durable goods to online stores and further, the products are resold at a profit. Online vendors must ensure that their goods must be quality oriented and should have the quality to bear risk in order to compete with other online vendors. Moreover, they should have flexibility in the supply of goods. Some real examples are India Mart, Alibaba.com, EC21, Trade India, E world Trade.
Duties of the Vendors and supplier:
1). They produce right products at right time according to the to the demand of the customers.
2) They are the heart of every organization. They need to supply the good quality goods to their consumers.
3). They act as the personality of the business and also proves them delivering products and services to our customers across the globe on time.
4). Quality control should be the priority of the supplier for the products manufactured. Also, they supply all kind of products.
5). Prominently Supplier and Vendors supply all kind of goods.
6). Supplier and vendors should prioritize the quality in the supply of products and services. Suppliers are considered to be the heart of almost every organization’s activity and process.
Approximately 50 years ago, Father of Management Thinking Peter Drucker defined” Innovation as the basic ways in which a business builds and maintain its competitive position in the marketplace”. There is no way to implement innovation in a vacuum. Below mentioned are some approaches of Innovation to make your business forward study your marketplace and understand how your innovation will add value to your customers.
1). Planning Innovation
Innovative ideas come instantly. Ideally, you should develop two skill strategy:
a). Make innovation a part of your business strategy.
b). A clear strategic vision must be there to see how your business should be implemented– Dedicate your time to surveilling trends in your business sector. You can then focus your innovative efforts on the most important areas. Innovation will not only improve the chances of your business surviving but also help it to burgeon the increased profits.
The plethora of innovative and creative ideas are implemented to have profit potential. For example- If your one and only strategy are to earn profits then, pay attention to the quality of products and services. This will earn a profit for you. Also, study the trends mentioned below:
- Awareness of the environmental condition where your business is operating.
- Diverse Information about the industry.
- Communication not all about the only listening but also observing the clients needs and what are there current behavior for the products and services.
- Pooling your resources with your supplier will create innovative ideas.
2). Encourage Your Business.
All suppliers, business partners, vendors make all the valuable contribution to encourage the business with support. Also, employees plays important role in the creating business ideas. In order to understand more clearly, read the loopholes which are mentioned below:
- Maintain proper process and criteria. For example- In your organization ask suggestion of you employees and hold some workshop in the organization to reveal the creative ideas from the mind of people.
- Encourage Risk taking and experimentation Analysis-For Example- If in case the idea doesnt work do not panalise your employee.
- Create supportive atmosphere– Also listen to you employees what they are syaing. Do not create the atmosphere of seniority and juniority. Make them feel free and listen to your ideas.
- Give the reward for the success of the business– If your ideas are successful in generating business then celebrate your suceess.
- Look for the imaginative or creative supplier– Remember that innovative thinkers are not those who have an impressive qualification.
There are a number of ways from which you can fund your growth. Either you can increase your funding externally and internally. This will help your business to grow. Business can borrow through credits and borrow loans.
Business angels are wealthy companies who invest in private companies. Business often turns to their bank and aks for credit or loans for additional finance depending borrowing needs.
You may also wish to consider applying for a government program. This will usually cover part of your project. But you will retain control of the shares in your business. All small and medium-sized business can claim tax refund and credits on appropriate research and development.
Growing your business will never lack you behind in any industry
With the passage of time, your products and services may not stand as backbone if you don’t keep an eye on the horizon. Significantly, pay attention to some elements mentioned below to the adopt the innovative ideas. For this reason, many organizations, are working and searching for a planning tool developed to meet specific demands of the organizations and their customers.
Some write-ups shows the insight of innovation in the business world:
a). Internal and external business research and development will give an innovative business idea for expansion of business both domestically and globally. Diverse information will help the organizations and suppliers to find new ideas for the innovative business. Also, use business reference and experience to know the new trends prevailing in the factors in outside business e.g supplier, customer, media reports, market research published by another organization or universities and other sources of new technologies.
b). Unless you have proper knowledge of consumer’s taste and demand how you will produce innovative products and services for your valuable customers. So read a lot and keep an eagle eye on your competitors. Competition among suppliers will lead you to produce quality assured goods for your business.
c). Try to adopt new technologies and to move according to the modern technology. This will require additional skills and knowledge to analyze how to use new technologies. In addition, try to pay special attention to the feedback and suggestions of your customers to know what they actually want to get manufactured.
d) Suppliers should try their level best to improve or replace business process to increase efficiency and productivity, or to enable the business to extend range or quality of existing business.
e). Adding value to existing products, services or markets to differentiate the business from its competitors and increase the perceived value to the customers and markets. Developing new innovative products will often analyze the changing demand of customers demands or needs. Innovation doesn’t stop after attaining one goal, it is a continuous process which slowly and gradually increases turnover and improve profitability.
Some of the challenges faced by innovation are:
a). Marketers are losing market share to competitors.
b). Efficiency and productivity are falling
c). Experience steadily reducing margin and profit.
d). Going out of business.
Some of the surveys say:
a). A recent survey found that 46 percent of companies were likely to engage this kind of “Impact Sourcing” if they participate in corporate social responsibility (CSR) initiatives. The fact that companies are both meeting their business needs while giving people they might otherwise overlook an opportunity to work (and learn valuable work and technical skills) makes for an inherently more responsible supply chain. It also contributes to broader impacts on family and community, such as the reduction of poverty and further investments in family health care and education
b). The first thing to know: New suppliers are few. Just 4.2 percent reported they have been with Wal-Mart less than two years. Nearly half had been Wal-Mart suppliers for 12 years or more.
c) Most suppliers have dedicated employees on the ground in Arkansas, serving Wal-Mart up-close and personal. Nearly half have fewer than five people stationed there, but 10 percent have more than 50 people on the payroll in the region. More than one-third expect to allocate more resources for servicing Wal-Mart next year.
d). Another interesting tidbit: Most suppliers have dedicated employees on the ground in Arkansas, serving Wal-Mart up-close and personal. Nearly half have fewer than five people stationed there, but 10 percent have more than 50 people on the payroll in the region. More than one-third expect to allocate more resources for servicing Wal-Mart next year.
e). Suppliers are happy about one trend at Wal-Mart — after earning customer ire for stripping down its inventory, the retailer added 10,000 items back in the past year. So that’s more opportunity for suppliers. But the retailer got only mediocre grades when suppliers were asked if the new-item introduction process at Wal-Mart is easily understood and efficient.
- Success comes from filtering and identifying those business ideas. Focus on how to exploit and apply resources.
- People invest less time to go to stores nearby. You could reexamine your distribution process, leadership and connect through new and advanced technologies.
- Yes, one more thing to keep in mind is that if your competitor’s product has a reputation for purchasing goods at cheap and reasonable prices. Instead of paying attention how to cut prices you could revamp your marketing to emphasize the quality of your merchandise. And consider charging the premium of them.
- However, some companies have not only established an environment which can analyze the innovation clearly but also began to take extensive advantage by identifying, cultivating a wide variety of external sources of innovation.
Odoo Vendor Portal/Odoo Supplier Portal is a module provides a comprehensive purchase management platform. But when it comes to vendor management there is no such interface for them to manage the quotations with ease. To avoid this situation, Webkul has launched an impressive software”Odoo Vendor Portal”. It provides vendors to offer quotation with ease. You will be able to request for the quotation from different vendors for a product and select the best suited among various quotes sent by different vendors and create a corresponding purchase order from a single place. It is an excellent tool to make you purchase management efficient and easier than it ever was.
Features of vendor portal:
1). A platform portal where vendors can easily request for quotations
2). Request for quotation is sent to multiple vendors for the procurement.
3). Multiple quotes can be applied to multiple vendors and admin can select one quote from the various quote.
4). Facility to add extra notes for both, admin while requesting a quote and vendor while sending a quote.
Need help? We are always available for you.
This future world will always have existing competition. Growing your business innovatively means you are moving towards ahead towards the creation of business. Further, when customers collaborate with several suppliers they build trust and reduce the relational stress and the teamwork of suppliers and organization gives rise to the innovative related activities. Especially relevant point is that suppliers have engaged themselves in innovation-related activities like investing in latest technology which can benefit customers as well the business.
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