Show some respect
September 15th, 2011Times are hard, cashflow’s difficult… all the more reason, surely, to protect and nurture the resources that allow your business to function effectively? Apparently not, for at least one high street retailer.
This is a company that we’ve been supplying software services to for almost 12 years. We wrote one of their key business critical applications, that ten years on, is in daily use by their buying department. It’s not changed much in the past few years, but occasionally problems arise - usually due to data fed from other systems, from infrastructure changes, or related to user training issues. We’ve had a support contract with the company the past year, guaranteeing that we will provide prompt support on issues as they arise. In return, the retailer agrees to pay us a monthly retainer, with an additional sum if our support hours exceed a certain threshold (which they never have). So effectively they just need to setup a standing order payment for the same amount each month.
We have never ONCE been paid on time. EVERY month we have had to chase, chase, chase to get payment. In all that time, when we’ve sent 29 emails TO their accounts department, we’ve only ever had 2 emails FROM their accounts department. One was a survey asking for information about outstanding balances (!!) and the other was another request to file an up-to-date statement that had been sent to EVERY SINGLE SUPPLIER; not by BCC, but by including their email addresses in the TO field. Now, this gave me a very useful list of several hundred businesses for me to send unsolicited marketing to, should I wish to; it also brought a flurry of responses from equally incompetent users who hit “reply to all”.
Over the past months I’ve threatened to withdraw services on several occasions; each time IT have stepped in and eventually payment has been received. But over the year, I calculate I’ve spent roughly three times as much time chasing payment as I have providing support. That’s madness and it’s not continuing. I’m not renewing my contract with them and as of November their key production planning application will be unsupported, with no-one in-house (even after running the software for 10 years) knowing enough to support it. (Yes, it’s all documented, but no-one in support reads the documentation before referring support queries to me; plus most of it was written in languages that are no longer supported and they don’t have the in-house skills or tools).
The moral: If you are receiving a valuable service from someone - something worth paying for - treat that supplier with respect and courtesy. Treat them like dirt and they will walk away - even in the current economy.
The hint: If you have shares in the number one retailer for mums-to-be and parents alike, who are based in Watford, sell them now.