Supplier Relationships Are a Strategic Asset: How to Build Them Without Compromising Fairness

By Lourdes Coss, MPA, NIGP-CPP, CPPO

In public procurement, there’s a long-standing tension between relationship-building and the duty to maintain fairness and competition. For years, procurement professionals were taught to maintain a wall between themselves and suppliers—no favorites, no influence, no informal discussions.

While the core principles of fairness and transparency must remain non-negotiable, it’s time to modernize how we view supplier relationships. When managed with integrity and clarity, supplier engagement is not a risk—it’s a strategic asset.

Why Relationships Matter in Public Procurement

Suppliers are not just vendors; they are partners in delivering public services. The success of a capital project, technology implementation, or public health initiative depends on more than contract terms—it depends on trust, communication, and collaboration.

Here’s why supplier relationships matter:

• They improve outcomes. When vendors understand your goals, constraints, and success measures, they’re better equipped to meet them.
• They foster innovation. Early engagement allows suppliers to share new ideas and technologies before procurement documents are finalized.
• They reduce risk. Proactive relationship management helps resolve issues early, prevents miscommunication, and improves compliance.
• They enhance market competitiveness. When new or small suppliers feel welcome and informed, they’re more likely to participate in future solicitations.

Balancing Access and Equity

Public procurement professionals often hesitate to engage suppliers out of fear of appearing biased. But fairness is not about avoiding contact—it’s about ensuring equal access to opportunities and information.

The key is to create transparent, structured engagement that gives all vendors a level playing field.

Here’s how to do that:

• Host Supplier Outreach Events. Invite potential vendors to learn about your procurement pipeline and priorities. Ensure broad outreach—especially to underrepresented and small businesses.
• Use Pre-Solicitation Conferences. These sessions allow for dialogue and clarification before a solicitation is finalized, giving suppliers insight and input without compromising fairness.
• Publish Questions and Answers. Any questions submitted by vendors during the solicitation phase should be answered publicly and simultaneously.
• Rotate One-on-One Meetings. If individual supplier meetings are appropriate, use a transparent scheduling process and keep records of what was discussed.

Building Trust with Incumbents and Newcomers

Strategic supplier relationships require maintaining credibility with both current contractors and potential bidders.

• With incumbents: Hold regular performance reviews, invite feedback, and jointly discuss process improvements.
• With prospective vendors: Make it easy to register, understand procurement policies, and navigate your systems. Avoid jargon and bureaucracy where possible.

Transparency + Access = Trust.

Key Practices for Strategic Supplier Engagement

Here are practical ways to foster relationships while protecting the integrity of your process:

1. Create a Vendor Engagement Policy. Set expectations, outline protocols, and train staff on appropriate interactions.
2. Recognize Supplier Contributions. Publicly acknowledging good performance builds goodwill and encourages others.
3. Leverage Technology. Use e-procurement platforms to post forecasts, facilitate communication, and gather vendor feedback.
4. Diversify Your Supplier Base. Track and analyze who you’re buying from—and who you’re not. Then take action to reduce barriers.

Final Thought

The public procurement profession is evolving. Integrity, fairness, and competition remain our foundation—but relationship management is now part of our strategic toolkit. The public sector cannot meet its goals without strong supplier partnerships.

Let’s move beyond the myth that distance ensures fairness. Instead, let’s practice ethical transparency and intentional engagement—because when supplier relationships are built with trust and purpose, everyone wins.