How to avoid briefcase and incompetent contractors

By Brenda Asiimwe

 Richard owns a women’s garments shop in Kampala. Whenever he wants to restock, he calls his UK supplier because they have an amicable relationship. They have worked together for the past three years and respect each other because of the smooth relationship they have created over time.

Although Richard sells the garments expensively, his store is a top one-stop shopping centre for corporate women.

Tales are told of how Richard’s shop never disappoints. He attributes his success to his supplier for not compromising on quality and delivering in time.

Every relationship your company creates with clients and service providers has value for it. It could grow into a long-lasting mutual relationship and become a cost-saving scheme for the organisation.

Remember, one of the roles of the procurement department is to save money for the organisation by getting quality service at low cost.

Therefore, creating a mutual relationship with suppliers and knowing them beyond their products could come in handy. When there is mutual understanding between you and a service provider, they would not double-cross you and supply fake or substandard products.

Nevertheless, for such a relationship to sprout, it requires a lot of time, effort and patience as you study the supplier for you to consider him or her dependable.

Philip Were, a procurement specialist, advises that organisations need to first know and understand service providers before giving them jobs “if you are to be assured of quality service.”

“As you select a service provider, have the end-user in mind. So you should be looking for one who will give you quality,” Were explains.

There are several methods you can employ to select a reliable service provider and eliminate contractors known to deliver late on jobs and those with financial problems, Were asserts.

He notes that the best way to protect your firm is to find out who you are dealing with by carrying out a background check prior to spending your time and resources procuring their services.

“A background check will provide information regarding your service providers’ workstation, period of time they have been doing that business, their clients and previous addresses.”

 He advises public sector procuring entities to cross-check if the providers have paid taxes, check out their bankers and clientele or if they are registered with the Public Procurement and Disposal of Public Assets Authority.

Were warns against visiting the service providers to carry out a background check before choosing a contractor.

“You may be biased. There are some companies that have the nice structures, but that does not guarantee that they will give you excellent services as opposed to those with average structures,” he argues.

Were advises job owners to conduct all the negotiations and selection of service providers “at your office, where you will do a proper assessment, using the same criteria and procedures.”

Mashood Ssali, a procurement lecturer at Kampala International University, warns organisations against “briefcase” companies and companies of appearances.

“They will appear smartly dressed and may even have the best proposals, but besides the briefcase, they have nothing else to write home about,” Ssali notes.

He adds that such individuals may be trying to do business with you because they cannot get jobs elsewhere. “That is why it is important to talk to their previous and current clients and see what they have to say about the firm,” he says.

Ssali explains that in order to sustain the value-chain where the service provider gives you quality products to give your clients the best, carrying out due diligence is vital.

“This will also save you time, stress and money and bulletproof your company from unpleasant surprises,” Ssali argues.