If a business relationship is being manipulated, how is that a problem?
If customers are tied up in their own internal politics and they extend that to supplier relationships, that causes a number of problems where the supplier becomes part of the customer’s game.
Firstly, they will involve suppliers in their own internal power struggles and political manipulation.
Secondly, they will use a number of manipulative tactics to put suppliers into a weak position. Whilst many of these tactics are well known as aspects of negotiation, much of what goes on is less obvious and less direct and more to do with personal motivations than simply getting the best deal.
How does this really affect the business relationship?
A culture of manipulation, at best, has a direct impact on pricing and contract terms. At worst, it eats up time and resources, hiding the real cost. It can mean that your strategy is dictated by a customer, only to find that the value of the relationship is nowhere near what was expected or promised.
Consider the amount of money spent on entertainment for potential customers and add to that the cost of your time, effort and resources, researching information and attending meetings with a customer who has no intention of working with you.
How do we know we’re being manipulated when it’s hidden?
We don’t always know right away, because of course that’s the nature of a hidden agenda, so we can only look for clues in the obvious places. For example, if you keep track of how much it costs you to look after your customers, you’ll be able to see when a relationship is out of balance.
What can someone do if they think that this is happening?
Read your contracts, especially regarding penalties and the ownership of products and intellectual property. You can physically recover or withhold products, and with services, you can set staged payments and objective measurement criteria.
You are equal in every relationship, because any transaction is inherently of equal value. You have to ask yourself how much a customer is worth to you if they are using their position to unbalance that.
Talk to someone who you can trust outside of the situation. If they think that a business relationship is not all that it appears then you have the choice to do nothing or call time on it. By knowing what you’re up against, you can make that choice for yourself and do what is right for you.
About Revelation
Revelation is a consultancy that uncovers the politics, hidden agendas and manipulation in business.
