When Standard Terms Become Strategic Debt: Governing Long-Term Agreement Drift
How long-term agreements can lose strategic fit as pricing, quality, technology, supplier capacity and organisational needs change over time.
Professional knowledge and strategic perspectives across strategy, projects, operations, engineering, transformation and business performance.
6 articles found
How long-term agreements can lose strategic fit as pricing, quality, technology, supplier capacity and organisational needs change over time.
The party that causes your worst loss is rarely one you can sue, and recovery runs in series down a chain, so the probability of getting paid multiplies away.
Every liability cap is a decision to absorb a supplier's failure above a line, taken by people not accountable for the loss, and nobody holds the total.
A strategic sourcing framework that balances unit cost with continuity, concentration, recovery time, inventory, quality and supplier capability.
How leaders should test financial strength, people, experience, quality, systems and subcontractor capability before turning a strong tender into a contract.
How leaders should distinguish legitimate commercial pressure from economic duress when renegotiating distressed contracts and critical supplier arrangements.