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  • The Return of the Local Supplier?

    June 5, 2008

    Stay local! I’m seeing and hearing a lot of advertisements for folks to forgo high gas prices and stay local this summer. Here in Massachusetts, they are advocating the use of local parks, beaches, museums, and other attractions. Early reports have been quite positive.

     

    There is also a strong message to patronize regional farms and farm stands for locally produced fruits and vegetables. It saves some money, helps to support the local economy, and reduce one’s carbon footprint. And the food tastes better!

     

    So what about patronizing local suppliers? With increases in transportation and materials prices, that cost model supporting the use of far flung suppliers is certainly being challenged. What about the cost of supplier visits, quality audits, sales calls, and on-site expediting? With the airlines boosting fares and cutting back flights, it is becoming increasingly difficult to manage travel expenses let alone to justify them. And that goes for the seller as well. You might actually see less sales and marketing folks in your office these days.

     

    Many of our suppliers are across the country or across the globe. Maybe it is time to revisit using suppliers who are across town. And on the way you can stop and bring some fresh corn and tomatoes home for dinner.

     

    There just might be a silver lining to these high fuel prices.

    Posted by Richard G. Weissman on June 5, 2008 | Comments (0)
    Industries: Strategic Sourcing
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