Vendor management is one of those areas that can feel simple on the surface but becomes complicated once real projects and real people get involved. Churches work with HVAC companies, landscapers, plumbers, roofers, and many other contractors throughout the year. When everything goes smoothly, it makes a major difference in how your building functions week to week. When things don’t go smoothly, you feel it quickly.
A lot of the challenges churches face with vendors are not because anyone is trying to do something wrong. Most of the time, it comes down to unclear expectations, rushed decisions, or relying too much on informal agreements. The good news is that these issues can be prevented with a few practical steps and the right mindset.
The questions below are ones I hear often from churches, and the answers come directly from my experience working with churches and other organizations. My goal is to help you navigate vendor relationships in a way that protects your church, keeps things fair, and supports the ministry you are trying to carry out in your building.
1. How can churches handle vendor management obstacles in a positive way?
As a church, obviously, we want to be promoting Christ while being fair and loving to other people. On the other hand, paying a vendor is a business transaction, so I encourage you to protect yourself and your contractors.
It’s really easy for churches to say, “You know what, so-and-so that attends does parking lots, and we need our parking lot re-striped. So, we’ll just talk to him and have him do it. We just need to let him know it needs to be done by this date.”
Sounds easy, sounds simple, and it sometimes works out. The problem is the times that it doesn’t work out, and then hard feelings are felt by both sides. If you didn’t view it as a business transaction, you might not even have a contract. So, who’s right and who’s wrong in that situation?
To protect yourself and the contractors that you’re using, make sure to nicely treat each transaction as a business transaction.
Always have a contract.
Make sure that you take the time to sit down and explain what things you’re looking to get out of the project. Let the vendor provide you with a quote so you see what you’re paying for, and then, when you agree, have a contract signed.
Have a deadline in place.
Make sure that there’s a deadline established and agreed on for the project. I hate putting penalties in place for missed deadlines, but you need to have something in the contract to help the deadline be met. So, sometimes it does have to be a penalty, for example, every day it goes past X date, it substracts $X amount off of the total.
This doesn’t mean you have to enforce the penalty, but having the contract in place provides the option if the situation is pushed and the work isn’t completed as agreed upon.
I encourage you to set the deadline for at least a week before you really need the project to be done so that you have some buffer time. But you want to treat it as a business transaction.
In the past, I was working on having a project completed at the church and the pastor asked me to hire a certain church member to complete it. He didn’t want a contract in place. The guy was very nice and I think was trying to do what was asked, but the deadline was missed, and there were hard feelings because of it. When it was time for Sunday service, people who needed ADA access had a difficult time getting into the church.
If we had put in a contract in place, the contractor could have really understood when it needed to be completed and why it mattered.
I definitely learned from that situation that even when pressed by leaders, it’s best to ensure each project is treated as a business transaction.
You can still treat everyone fairly.
It can be hard for churches, though, especially if you’ve been doing it a certain way in the past. When you begin to make changes, contractors might push back and want to know why you’re changing the process.
Sometimes those are difficult conversations, but they’re conversations worth having. Contracts help protect the church and they protect the contractor in the long run as well. Both parties receive value in the transaction.
So, that’s one thing I would say. Definitely in that situation, make sure you treat it as a real business transaction and have a contract.
2. When should a church consider outsourcing work to outside vendors, and what should those contracts include?
Depending on your church, you might already have contracts with outside contractors or vendors, or you may not have any right now. There are several areas where outsourcing can really help, especially if you do not have the internal staff or a volunteer team to keep up with everything.
HVAC
HVAC is one of the most common. You can create a schedule for replacing filters, checking belts, and making repairs when things break. If you don’t have the capacity to have someone at your church or a qualified volunteer do that, then an HVAC contract is a great option.
If you go that route, make sure it actually is a contract so you know what they are supposed to be doing. You also want to ensure they are signing in when they arrive and signing out when they leave.
I have seen many situations where the organization says, “No one saw the HVAC tech this month,” and the contractor says, “Yes, we were there.” It becomes a he said, she said situation.
Having the contractor sign in and sign out gives you clarity. On the sign-out, you should know what they came to do and what they completed. You do not need them to write down every single filter they replaced, because that can be listed on the invoice, but you do want the basic record of what was done.
Janitorial Supplies
Another helpful area is janitorial supplies. If you are doing your own janitorial services, it is good to have a contract with a janitorial supply company. You would be surprised how much money you save over the long run compared to running to the local grocery store for cleaning supplies.
These companies will deliver your cleaning products and equipment so you don’t run out unexpectedly. Over time, you develop a relationship with them, and they can even advise you if you have an unexpected mess, a stain, or something out of the ordinary.
You are creating a network, and you can ask your professional, “How would you suggest we handle this?”
Landscaping/Snow plow
If you are in the northern states, a snow plow contract is almost always needed.
Landscaping contracts are helpful anywhere. If your own team can take care of the grounds, that is great, but many churches don’t have the resources for that. When you take it on yourself, remember you now have the maintenance on the mower, the upkeep, the gas, and the labor costs.
Sometimes outsourcing ends up being more efficient and less stressful.
Plumbers
Plumbing contracts can also be useful. You may not need a plumber to come out every month. But having a contract often gives you a discount or priority service when something does go wrong.
Build relationships with your vendors.
Whatever vendor relationships you build, make sure you take the time to talk with your vendors. Don’t just sign the contract and never see them again. This is a simple way to network and to show them what your church is all about.
Showing kindness and staying connected builds trust, and you never know when they may come to you later with a question or an opportunity.
These are just some of the areas where a contract can make things easier for your church. If you are wondering about other types of contracts, or how to decide which ones fit your situation, it is always worth looking at your resources, your staff, and the level of support your facility really needs.
3. What are some tips churches can use when hiring a vendor or contractor?
When you are getting quotes, there are a few different ways you can approach it.
You can do an invitation for bid. This is where you send the scope to select contractors you want to bid on the project.
You can set a specific day and time to invite several contractors to walk the project together. This allows them to all see the same thing at the same time. Then, they’ll submit their bids by a certain date.
Or, if you have time, you can contact them individually and have them come out one at a time. This can help you get to know each vendor better during the bidding process.
The important thing is making sure everything is comparing apples to apples. The end result of a project is often dictated by the work you do up front. Sometimes that work can take longer than you want.
A contractor might even get frustrated because the process feels slow. However, especially if you are new, you have to push through that.
You need to understand:
- Exactly what each contractor is saying they will do
- That all the quotes line up
- That both sides know the expectations.
You are paying for a service, so the contractor needs to know what you expect, and you need to know what to expect from them.
Don’t be afraid to ask for help or guidance.
Another thing that is really important is being willing to ask for help. If you are new, reach out to a mentor, a consulting company, or even an online facility management group.
Ask if anyone has worked with certain vendors or contractors in the area. Ask how the process went and what you should expect. Look at company reviews as well. The church is paying for this, so don’t let yourself be forced into a rushed decision.
Rushed decisions are when mistakes happen.
Don’t assume the lowest bidder is the right option.
Once in a while, the lowest bidder is the right choice, but many times they’re not. The lowest bidder might be new, might not understand the full scope, or might not be comparing apples-to-apples with the others.
Look at the spread of bids. If one bid is far higher, maybe they are including more than the others, or they don’t quite understand the project. If one bid is far lower, you might not be getting the value you think you’re getting.
I have worked with organizations that always go with the lowest bidder, and it drives me crazy. I have seen the frustration over and over again when the results are not what the church expected, yet the same pattern keeps repeating. Once in a while, the low bidder really is the right one, but only if you have done the legwork. Take the time to confirm the expectations on both sides, and make sure the quotes are apples-to-apples.
As you continue with projects, you will build your network. You can ask trusted contractors for recommendations, and you can ask other church facility managers who they use. That is often one of the best resources you have.
The biggest thing is to take your time. It can feel painstaking at the beginning, but that work up front is often what determines the results you receive at the end.
4. What is a polite way churches can handle when somebody in their congregation offers a service and the church chooses a different contractor or vendor?
This is a great question and something that comes up for churches a lot. This is another reason you should have a vendor management process in place.
Maybe someone in the church owns a roofing company and they assume that you’ll hire them when a roofing project comes up. Maybe that’s even how it’s worked out in the past, which can make it more complicated to make a change. But having a process allows you to be fair and not leave people with hurt feelings.
For example, if your process is to obtain three quotes on projects, it sets you up to choose the one that offers the greatest value to the church.
But here’s the important part. You need to be willing to have the awkward conversation. Call the church member whether they win the bid or not. It’s much better for them to hear directly from you, even though you may not want to make the call.
I have heard of some churches that don’t hire members to avoid setting up situations where feelings can be hurt. But I don’t recommend going to that extreme. You might have a very talented contractor at your church who is going to give you a fair price. And it can work well for both sides. So focus on viewing these transactions as business transactions and having a process that allows you to be consistent and fair.
People are less likely to be offended or hurt if you don’t choose them when they see your process is consistent and fair.
Vendor management does not have to be stressful.
When you set clear expectations, treat each project as a business transaction, and build healthy relationships with the people you hire, things tend to go much smoother.
You create consistency, protect both sides, and set your church up for better long-term results.
These vendor decisions are also just one part of a larger facility management plan. When you have a full plan in place, everything else becomes easier. You know what your building needs, how to budget for it, and when to bring in outside help.
If your church wants to strengthen vendor management or build a complete facility management plan that fits your resources and your building, we would be glad to help. A strong plan helps you take care of the church facility so your staff and volunteers can stay focused on the people who walk through your doors each week.
