Relationships (Do Not) Matter

May 28, 2010

Whether an issue relates to business or is personal, whether the audience is customers, family members, employers or contractors, relationships matter. That is why4C is so singularly focused on accountability and communication. We work hard to make certain that the people we work with – whether child care providers, parents, funders or other partners – are highly satisfied with the level of service and responsiveness we provide.

That is why it was jaw-dropping to learn that we lost an important contract that we thought we had served so well. In communicating with the funder, a unit of government, we were told the following. (The wording is slightly modified so as not to identify the funder.)

I can say that we are in no way dissatisfied or unhappy with 4C. We in fact continue to appreciate your responsiveness to our customers and the support you’ve provided to us.

… Your questions about our satisfaction with the quality of your service are unfortunately irrelevant in the context of this procurement and the proposal evaluation.  Whether the answers to these questions (level of satisfaction, successful track record, accountability and relationship) for any vendor submitting bids were all negative or all positive, it could not and was not considered in the evaluation of their bid.

So in this case our track record, our partnerships, our relationships do not matter. This is a bad direction for decision-makers. Price can always be negotiated, but trust and dependability cannot. We had an experience in the past in which we were dramatically underbid on a contract where we had extensive experience. We said we would serve 60 people for the amount of money offered. The successful bidder promised 200. After 18 months the successful bidder had served 30 people.

In relating this story to a 4C Board member, I was reminded that we, too, sometimes ditch our current vendors for a better price, especially when resources are tight. I believe that level of satisfaction does factor into the decision to seek other vendors in the case of a private sector organization like 4C, and I also understand that government has more restrictions in its bid processes. Nonetheless, I sure wish the funder could have negotiated with us!

Investing in strong relationships is always the best choice – and the course we will choose.  Relationships really do matter.

Entry Filed under: Advocacy, General. Tags: funding, money, relationships.