5 Reasons to Implement a Vendor Management Process
If your community and property management company doesn't already have a structured vendor management process in place, it's time to consider one. Vendor management has become a mainstream topic in the community and property management industry. Management companies must often contract third-party contractors to resolve maintenance issues in residential units or in common areas. Significant emphasis is most commonly placed upon vendor compliance, management efficiency, and enhancing customer service to residents/owners in the community. Need more reasons? Read on!
1. Improve Organization of Data
When you have a solid vendor management process in place, coupled with a software system to handle data management and retrieval, the benefit to your team is a database that lets you easily sift through and manage your contacts' information. Increase efficiency of staff by having one central place to add, track and manage all information. The vital pieces of data you should manage in a database are insurance expiration dates, which vendor is permitted for which communities, and which vendors are preferred versus other vendors.
2. Simplify due diligence and evaluation processes
Due diligence is the process by which you evaluate a potential investment or service prior to signing a contract. Creating a set of standards by which to evaluate vendors simplifies the due diligence process and eliminates those who do not meet the criteria. Furthermore, legal complications are reduced on your end by contracting with only those vendors that are committed to compliance.
3. Resolve maintenance issues quickly
As information is easily available to your team, selected vendor(s) can be contacted immediately to resolve maintenance issues that arise within the community.
4. Manage costs better
Following a vendor management process increases the likelihood that you'll be within your HOA/COA or apartment management budget as you set expectations on costs, types of maintenance required, and frequency of maintenance.
5. Maintain a safe and clean community for residents and staff members
By keeping trusted and meticulously vetted vendors in your circle and within quick reach, you can keep true to your promise of a clean and safe community for residents and staff.
Think of this process you'll create as a way it increase the bottom line, remove inefficiencies, and allow staff to have peace of mind. Keep in mind, that a vendor management process is only as good as the implementation of all its working components.