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Can you provide an example of a successful negotiation you conducted with a supplier?

Your Answer

How To Answer This Question?

This question is designed to evaluate your negotiation skills, which are crucial for a Procurement Manager. When answering, choose an example that highlights your ability to achieve cost savings, improve quality, or secure better terms. Structure your response using the STAR method (Situation, Task, Action, Result) to provide a clear and concise answer.

Example:

Situation: Our company needed to source a new supplier for raw materials due to quality issues with our current supplier.

Task: My task was to find a new supplier who could provide higher quality materials at a competitive price.

Action: I conducted market research to identify potential suppliers, then initiated contact and requested quotes. I used the quotes to leverage negotiations, emphasizing our long-term partnership potential and volume of business. I also highlighted the quality issues we faced with our previous supplier to stress the importance of quality.

Result: I successfully negotiated a contract with a new supplier that provided a 15% cost reduction and improved material quality, which resulted in fewer production delays and increased overall efficiency.

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