Evidence-based partnerships

CHAPTER FOUR

Evidence-based relationships

Another area COVID-19 has impacted is partner and supplier relationships.

A quarter of our clients (24%) say they will make significant changes to these relationships in the coming year.

Generally, this is part of a move to reduce numbers – with a third (32%) expecting to consolidate, compared to the 19% looking to diversify.

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Decisions aren't always based on data

Interestingly, the decision to part ways with suppliers is not always based on data.

Over half of businesses say they only measure ROI for a few of their suppliers or partners, suggesting decisions may not be predicated on proven value.

When asked what would become more important in the coming year when working with suppliers/partners – two of the most mentioned skills were:

Ability to demonstrate ROI and value
Ability to make evidence-based or data-driven decisions

This suggests that businesses will increasingly look to suppliers and partners for support when it comes to evidence-driven decision making – both in terms of the supplier proving their own value and supporting the client business in their decision making.

Do you expect to diversify or consolidate your partner/supplier landscape in the coming year?

Looking to diversify
No change
Looking to consolidate

The importance of
market insights

This focus on evidence is echoed in another finding from the research – that customer and market insight is the top area of opportunity or challenge for businesses in the coming year other than new post-COVID ways of working.

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