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Engineering & Construction

Built Modular: Creating Winning Relationships Through Cooperative Purchasing

October 30, 2020
buying cooperatives
Chris Brown Podcast
cooperative purchasing
Modular construction
+more

Cooperative purchasing provides seamless purchasing and consistency for the relationship between Vanguard Modular Building Systems and its customers. Chris Brown, an Area Sales Manager at Vanguard, popped by Build Modular to discuss this solution for financing modular projects.

“Cooperative purchasing is a procurement system,” Brown said. “It’s where a lead agency advertises for bids, awards a master contract to the vendor and for the prices to be extended to the registered members of the cooperative, and then notifies the members of the contract awarded. The registered members then contract directly with the vendor for their own needs subject to the specifications of the master contract.”

So, if cooperative purchasing provides cost savings and reduces the hassle of the “go-it-alone” bid process, how does one become a member of such a cooperative?

“Joining a cooperative is very easy for membership,” Brown said. “Most of the cooperatives, all you have to do is fill out a one-page application. There are no fees and no downside. It’s a simple as sign up and begin ordering.”

Any public entity can become a member of counting organizations, such as municipalities, public and charter schools, colleges and universities, nonprofits, and governmental agencies.

Many cooperatives are available, but one commonality they share is eliminating the need for businesses to go through the lengthy bidding process, which is the ultimate win.

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