Verde Tech, a mid-sized renewable energy organisation, has recently expanded its operations into three new countries. As part of its international expansion, it engaged multiple new service providers for raw material sourcing, logistics and data management. Senior management has raised concerns over managing operational consistency, potential legal exposure across borders and varying quality standards. The procurement team has been instructed to formalise all existing relationships through written agreements and establish a framework for governance and performance tracking.Why should Verde Tech formalise its supplier arrangements through structured agreements?To streamline administrative tasks and reduce paperwork in global operationsTo accelerate payment processes and create supplier incentives across regionsTo protect its interests by gaining control and managing external exposureTo promote informal collaboration with key service providers in different markets