When faced with a vendor denying pricing errors, handling the situation tactfully and professionally is key to resolving the issue without damaging the relationship. Here's how you can navigate this challenge: 1. Gather Evidence: 2. Communicate Clearly and Professionally: 3. Seek Clarification, Not Blame: 4. Negotiate a Solution: 5. Escalate if Necessary: 6. Consider Legal or Contractual Recourse: Navigating pricing errors diplomatically can preserve the relationship with the vendor while ensuring the issue is resolved fairly.

This is a very common problem most of the time with owner driven Tier-2 Vendors in Automotive Industry. Few reasons behind are: 1. Sending Quotation without proper evaluation of cost (RM, Processing Cost, Overhead Cost, Packaging, Transportation etc) 2. Having multiple category products with different costings but sending wrong quote for required product. 3. Poor Customer relationship management. To handle such cases, few steps to be followed: 1. Gather all the evidences, like Email Communications, Minutes of Meetings, Sample etc 2. Make vendor understand that such acts may tarnish its image in market 3. Communication is the key. Keep discussing with vendor. Any sensible supply chain partner won't kick business like this.

Always keep communication clear in emails. Ensure the validity of pricing and terms are stated in the email. Always make sure the vendor agrees to the price, its validity, and the terms of service before issuing the purchase order (PO)."

The issue can be addressed by adopting a four-step process: Documentation, Communication, Escalation and Alternative Action Documenting all the process involved in the process will provide proof to support errors and help negotiate. Clear communication helps faster resolution, backed by proper documents provides professional approach. Escalation is the last thing one would want, as it delays process, but if there is no alternative, escalate to higher levels and may involve legal connotations. Providing alternative solutions and having back up plan helps having always helps. Sometimes, errors can be on both parties where a mid-way solution can be suggested. Alternative sources of supply will help shorten the whole process and avoid delays

When a vendor denies making pricing errors, it often means there's a lack of trust between vendor and buyer. Vendor might be trying to avoid scrutiny, and you're just looking for answers. To navigate this tricky situation, focus on building a positive relationship. Start by sharing any evidence you have that suggests there might be a mistake in the pricing. Ask vendor to review how they came up with the costs. Then, show them how you did your own calculations. Compare your methods to see if there are differences or discrepancies. This way, you're not directly accusing them about the pricing. Instead, you're discussing how the pricing was determined. This opens up a dialogue that helps rebuild trust and find a solution together.