Oversharing Budget Information Can Disadvantage You in Negotiations
Getting budget approval to move your capital medical equipment purchases forward is a big deal. We know how hard it is. But, resist the temptation to share this news with your equipment suppliers!
Why? You’ll be giving your suppliers a negotiating advantage if you do. Many of your suppliers are trusted business partners critical to your hospital’s success, but by giving away the fact that you have the budget approved, you will end up costing your hospital serious money.
If your suppliers believe budgetary approval is still uncertain, they are much more likely to agree to additional discounts in order to get the deal done. If they know your approved budget number, they won’t have any incentive to lower their prices.
Resist the temptation to share budget approvals until you’re confident you’ve gotten to the best price possible. If you do, you’ll really have reason to celebrate how much you’ve saved your hospital.Tweet