A contract is simply a promise written on a piece of paper. But its true worth lies not in legality, but in the relationship of trust within which it was signed.
For you to keep your promises, it’s essential that third parties keep their promises to you. So it’s critical that they are motivated to act with integrity.
As we see the proliferation of outsourcing, sourcing offshore and cost cutting initiatives, the trust factor becomes increasingly important in ensuring that your complex network of relationships operates effectively and allows you to feel confident and secure.
Promise vs profit
There may be times when promise and profit appear to represent conflicting objectives. Demanding customers, regulators, suppliers, activists, investors and analysts will all drive a business to make promises.
But within the business there may be internal departments, subsidiaries and stakeholders who are exerting extreme pressure to maintain profitability. The result is that the margin for error in honouring your promises becomes increasingly small.
The news is littered with examples of broken promises, contaminated food chains, poor labour hire practices, oil spills, the illegal dumping of toxic waste, human rights violations and over-billing.
Every broken promise represents a fractured relationship and the possibility of a trust irreparably damaged. It’s at such moments that competitors can press their advantage.
Protecting your business by protecting your reputation
Your reputation, and the trust it inspires, is a core component of every relationship that is critical to the success of your business. As such, the protection of your good name is a strategic and commercial imperative.
90% of companies can not confirm that key suppliers have business continuity plans.
How do you benefit?
Our work has been designed to promote:
Transparency. Knowing and understanding the risks attached to your most significant promises.
Confidence. Ensuring that key risks and dependencies are carefully managed to engender trust.
Reputation. Building trust among all stakeholders including investors, analysts, shareholders, employees and new talent.
Margin and cash flow improvement. Ensuring you can price more confidently.
Commercial capability. Improving your commercial ‘savvy’ so that you can keep your promises more cost effectively.