Supplier Communication
The supplier or vendor community is critical to your daily existence. They are your lifeblood. In the recreation field, they range from food vendors, to uniform service suppliers, to the HVAC repair company. These vendors have a vested interest in the final privatization decision. In order to keep them motivated to continue to service your business until the outsourcing takes place, they must be kept in the information loop.
Most outsourcing processes take from 90 days to several months. The R.F.P. is generally based upon a set of "existing" conditions at the time of issuance. It is the obligation of the government authority to maintain that level of conditions until the private company takes control. There have been many costly due diligent settlements made at closing by governments because the condition of the service or property has changed from the R.F.P. "existing" condition. Unfortunately, some of the decisions to "cut back" made by the government operator are poor judgments. Other changes occur in the condition of the property or service because suppliers start cutting back their commitments because of a perception that they will eventually lose the account. So how do you keep them motivated?
A vendor strategy which has worked not only in public to private transactions but also in private to private mergers and acquisitions is:
1 . Let all vendors know the degree of the outsourcing and what role the government will play in the future.
2. Once the R.F.P. list has been narrowed down to the final selection, make this public information easily accessible to the vendors.
3. Work with vendors who have contractual arrangements as to the conveyance of these agreements.
4. Create, a systematic information process so that vendors can stay informed.
5. Meet with suppliers and determine how the relationship can best work during this transition period. Be realistic as to future relationships.
Media strategy which keeps you in the game:
1. Be proactive with the media. A sense of respect is developed if the media knows that you will notify them rather than forcing them to dig out the answer.
2. Do not supply "War and Peace". Provide concise, to the point written material which is easy to understand and is filled with the facts.
3. Determine, within your organization, who is the spokesperson and then train that person. One of the worst problems is allowing several people to be the spokesperson. Each will have a slightly different response to the inquiry and thus it creates just enough confusion to allow the media to draw inaccurate conclusions.
4. Create the disciple among your organization to direct all media inquiries to the spokesperson.
5. The world operates on an "eight second sound bite". The spokesperson must be able to concisely state the key points. Long drawn out responses only create problems for you.
6. Be truthful with your information. It is much easier in the long run rather than trying to dance around a lie.
7. In some cases it is beneficial to have a public relations firm who is familiar with political processes to be involved either as a coach or as the daily information supplier.
8. Try to provide all media equal access.
9. Plan, rehearse and review your media presentation. Use third parties for non-biased feed back. Ask them to feed back to you how they would report what you either orally presented or the written material you have supplied.
10. The public and private sectors involved in a R.F.P. process need to have an up-front understanding of how the media is going to be handled by each side. This allays many misunderstandings.
11. Be respectful of media deadlines. If they think you are stonewalling you will pay a high price.
The media may or may not be pro-privatization. You may or may not be able to sway them to your side. What you do want, however, is a fair representation of your positions. It is okay to have righteous indignation when your position is poorly reported. A "pow-wow"
6. Supply to the R.F.P. finalist a list of all-current suppliers and vendors.
Peggy.Robertson@dpb.virginia.gov
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