My contractors get very upset that their prices are being benchmarked

Purchases have traditionally been the major source of contractors’ profits and many contractors view benchmarking as a major threat.

Many contractors have enjoyed ‘carte blanche’ with purchasing and suppliers have been forced to co-operate due to the massive volumes of business involved.

Clients have known this but many contractors have, up to now, been able to keep control through employing tactics that make it difficult for clients to restrict their ability to extract uncontrolled profit from supplies.

CPI benchmarking has been established to address this issue and enables the client to be protected against exploitation.

Well-informed contractors embrace CPI benchmarking as it establishes ethical trading and removes all the negative issues surrounding purchasing that have plagued the contract catering industry for decades.

If your contractor is upset then they are probably feeling threatened and will try to discredit CPI.

CPI will engage with these contractors to resolve the issues and secure lasting good relations and ethical trading between all parties.

Tip

Don’t be troubled by contractors’ reactions to benchmarking: it is quite natural if they feel their profitability is being threatened. Giving way is not an affordable option.