A Supplier refuses to share information on his suppliers/sources

[PaulSanda]

I have been searching all over for anything on this subject but I have not found anything relatively close. In a few words, the question is: how I can obtain from a supplier info regarding his suppliers?
A supplier announce us that they will close the bussiness and they want to sell everithing (tools, machines, etc). The product is a metallic grid and the raw material is imported from China. Basically is a mesh with certain properties and I do not want to go through all the approval procedures, etc, and I need to know who is the supplier for this row material, information that my supplier refuses to give me (actually they asked for about 4000 Euros for this information).
How do I get this info? In other words, is the Supplier obliged to provide information regarding his Suppliers? What is the easiest way to obtain this info?
Regards,
Paul

 

[JaneB]

Re: A Supplier refuse to share the info for his suppliers

how I can obtain from a supplier info regarding his suppliers? ...
How do I get this info? In other words, is the Supplier obliged to provide information regarding his Suppliers?

No. You cannot compel anyone to give you that information. It's their company property, after all - they did the work to find the suppliers and so forth. You may 'need to know', and you clearly want to know - but you have no right at all to demand it from them. They're entirely within their rights to refuse to tell you.

They would only have to disclose this to you IF you had some kind of contractual obligation in place that stipulated this. If you haven't: no deal.

What is the easiest way to obtain this info?

Easiest? Simple. They've made it clear what they want: pay them.

PS - it's easier to achieve a win/win situation when both sides respect each other's position and are willing to achieve a satisfactory solution. Getting mad with them won't help.

 

[PaulSanda]

Re: A Supplier refuse to share the info for his suppliers

Hi Jane,
Thanks a lot for your quickly answer. With this occasion I learned an important lesson: when you audit a supplier for the first time (when they are willing to give all information to become their client), I will ask all the info about their suppliers of raw material ...
Thanks again,
Paul

 

[Claes Gefvenberg]

Re: A Supplier refuse to share the info for his suppliers

Er... That is a situation I have never encountered.

With this occasion I learned an important lesson: when you audit a supplier for the first time (when they are willing to give all information to become their client), I will ask all the info about their suppliers of raw material...

You could also try to get something that prevents them from leaving you hanging from a limb into a contract.

In this case, I suppose the quick and easy way out would be to pay the 4000€, but I definitely understand that you are reluctant to do so.

/Claes

 

[JaneB]

Re: A Supplier refuse to share the info for his suppliers

You're welcome Paul - do be careful that you're not using an audit to get info out of them for your own purposes though. You see, they might fear that if you get their supplier info that you'll bypass them & go straight to their suppliers - which wouldn't be ethical in my book.

I can understand that it's tricky on both sides. Remember that quality principle of mutually beneficial relationships?

 

[harry]

Re: A Supplier refuse to share the info for his suppliers

Remember that quality principle of mutually beneficial relationships?

Exactly. The first thing that comes to my mind when reading this post is that things could be quite different if there had been good & mutually beneficial relationships. Sometimes you may be thinking that you had treated the other party well but the other party may have a different opinion.

 

[Petar Sakic]

Re: A Supplier refuse to share the info for his suppliers

You're welcome Paul - do be careful that you're not using an audit to get info out of them for your own purposes though. You see, they might fear that if you get their supplier info that you'll bypass them & go straight to their suppliers - which wouldn't be ethical in my book.

I can understand that it's tricky on both sides. Remember that quality principle of mutually beneficial relationships?

To add to this, once I had customer auditors that wanted copy of our approved suppliers list, customers list, NC's, factory layout, processes flowcharts and CNC machines parameters

In addition, when I asked them politely on their experiances and anegdotes, it turned out that one of them was only recently (and I guess only for this one occasion) promoted to QA, otherwise, he was technical director for last 10 years

Cheap way to get info, I guess

 

[Craig H.]

Re: A Supplier refuse to share the info for his suppliers

Well, there is another way, but I don't know if it would work in your country, and it is a mean and nasty way. But, them threatening to leave you high and dry, and trying to extort 4000 clams, well...

Sue the snot out of them. During discovery you can get the info you want.

 

[qusys]

In case of PPAP signing with the supplier or other contract agreement with it, the supplier shall communicate the change given that it could be critical to sustain the business continuity.
However, did you evaluate the chance to change supplier? Do you have alternative supplier for the product in subject?
I guess that you are already prepared given that they announced the intention to close their business, aren't you?

I have been searching all over for anything on this subject but I have not found anything relatively close. In a few words, the question is: how I can obtain from a supplier info regarding his suppliers?
A supplier announce us that they will close the bussiness and they want to sell everithing (tools, machines, etc). The product is a metallic grid and the raw material is imported from China. Basically is a mesh with certain properties and I do not want to go through all the approval procedures, etc, and I need to know who is the supplier for this row material, information that my supplier refuses to give me (actually they asked for about 4000 Euros for this information).
How do I get this info? In other words, is the Supplier obliged to provide information regarding his Suppliers? What is the easiest way to obtain this info?
Regards,
Paul

 

[BradM]

I have been searching all over for anything on this subject but I have not found anything relatively close. In a few words, the question is: how I can obtain from a supplier info regarding his suppliers?
A supplier announce us that they will close the business and they want to sell everything (tools, machines, etc). The product is a metallic grid and the raw material is imported from China. Basically is a mesh with certain properties and I do not want to go through all the approval procedures, etc, and I need to know who is the supplier for this row material, information that my supplier refuses to give me (actually they asked for about 4000 Euros for this information).
How do I get this info? In other words, is the Supplier obliged to provide information regarding his Suppliers? What is the easiest way to obtain this info?
Regards,
Paul

Why don't you buy their operation? See what they want for the equipment and such.

1. You gain a necessary supplier to your operation.
2. You gain technical information into the material that you use.
3. You can help offset the costs of this raw material by making it for others.

Small business owners always tend to value something higher than other value things. Primarily, the business owners know how much time, effort, and headache went into developing that process in the first place. So I might consider starting fresh, and not worry about this supplier and such. Or, create a relationship with them and procure their operation.

But I would not worry about it too much. Like Moby Dick, things can tend to consume and take us over, if we don't watch it.