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Would you trust Amazon to keep your plant running?
Amazon has changed our lives; there’s no doubt about that. From a place to order books and CDs it has evolved to cover an amazing cross-section of products we might want in a hurry from Lemsip to wrapping paper or from fabric softener to light bulbs (and that’s just checking my order history for one month). It’s a brilliant tool.
As well as being an excuse to get up from a Zoom or Teams call (“Sorry I have an Amazon delivery” is accepted worldwide as an excuse to leave an online meeting) the platform has spilled over into our working lives too.
Amazon Business is an online procurement solution offering businesses access to millions of products, plus features like quantity discounts and multi-user accounts, and tools for managing spending and purchases. It extends the familiar Amazon shopping experience to business customers.
But with the extension into the business world does the platform over-reach itself? I read in an industry journal recently an article from Amazon that said, “As industrial firms seek new sources of savings, a growing area of focus for those in procurement is likely to be non-core spend categories. In the industrial space, this may involve maintenance, repair and operations (MRO) items or personal protective equipment (PPE)”.
Really? I find it hard to believe that any manufacturer’s procurement team is going to buy its bearings, lubricants or electric motors via Amazon without any discussion or interaction with an expert. I found myself having an amusing daydream about our local delivery driver gamely trying to deliver a large pump – all stacked in the van with hair extensions, nail varnish and other parcels!
And while a little investigation of the Amazon Business website does uncover that their definition of MRO is definitely on the small side (Hi-Viz vests, electric drills etc.) I would still be concerned if any industrial business was buying its PPE from Amazon and they certainly do suggest that.
While the procurement arguments that Amazon makes are all valid – consolidated spend and budget controls – the same is also true of consolidating MRO spend through a vendor that knows about the space and can add value both technically and commercially.
There’s also one incredible advantage to working with a specialist MRO distributor, such as ERIKS. You get to talk to a human being, if you wish to do so. One that knows your account, knows your industry and can provide the insight you need should you have a problem.
So, while Amazon continues to deliver a great service to us at home and for some things in our business it’s not a model that can be replicated across absolutely everything as they would have you believe.
For more information, get in touch with your local ERIKS Service Centre who will be happy to discuss your options.
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