Back in early 2021, I took over purchasing for a mid-sized construction firm—about 150 employees. We had three main office locations and a couple of job sites. My job was managing everything from printer paper to the trim and doors for our projects. My budget was roughly $1.5 million a year across 10 different vendors. It was a lot. But I figured I was pretty sharp about getting a deal.
I was wrong. It took me almost two years and five pretty rough vendor experiences to really understand the difference between a good price and a good cost.
In mid-2022, we had a big job—renovating the lobby of a client's corporate office. The specs called for custom trim and a specific type of shower enclosure for the adjacent locker rooms. I got three quotes. Our usual supplier, a local distributor, came in at about $28,000. A new vendor I found online—let's call them QuickBuild Supply—came in at $22,500.
I felt great. I was saving the project budget $5,500. My internal client—the project manager—was happy. I placed the order. That's when things started to unravel.
First, the fine print on their quote said "Standard Shipping" was included, but they didn't mention the $900 "oversize item surcharge" for the shower enclosure. Then there was a $400 fee for a "special handling" upcharge because the trim had to be wrapped in cardboard, not just plastic. When the delivery arrived a day late, I found out the standard freight liftgate service was an extra $150. The final invoice was $24,050. That $5,500 savings turned into about $3,450.
Looking back, I should have called and asked for a complete list of all possible surcharges. At the time, though, I was just trying to close a deal quickly. The project manager was breathing down my neck.
"I've learned to ask 'what's NOT included' before 'what's the price.'"
That wasn't the end of it. The project had a pretty tight timeline. When the delivery was delayed by a day, the client's construction crew had to reschedule their work for the next week. That cost the client about $3,000 in idle labor. My finance department wasn't thrilled about the unplanned surcharges either—accounting rejected two of the fees initially because they weren't on the original purchase order.
After 5 years of managing procurement, I've come to believe that the 'best' vendor is highly context-dependent. But the vendor who lists all fees upfront—even if the total looks higher—usually costs less in the end. A vendor who bills for the product and the shipping separately, and is transparent about handling fees, saves me time and my company money.
It wasn't until our 2024 vendor consolidation project that I fully appreciated transparency. We were wrapping up the year and my boss told me to cut vendor count from 10 to 5. I had to evaluate who was truly costing us money.
One of the vendors I considered was a national building supplies distributor. Their initial quote was about 8% higher than our current supplier for a bundle of doors, windows, and trim. I was about to pass on them. But then I noticed their pricing sheet had a column called "All Applicable Fees". It listed every possible fee—liftgate service, residential delivery, oversized charge, paperwork processing—right next to the product price.
It was kind of shocking. Our current supplier listed fees on separate invoices or buried them in terms and conditions. This vendor was saying, "If you order X, it will cost exactly Y, including all fees." I decided to test them with a smaller order—just some interior doors for a new office build-out.
The order was about $8,500. The total quoted was $9,000 including all fees. The shipment arrived exactly on time, no surprises, no follow-up phone calls asking for $150 here or $75 there. The invoice matched the quote exactly. That saved my accounting team about 30 minutes of reconciling a single invoice. Not a huge deal, but it adds up.
I'm not 100% sure, but I think their business model is built on that trust. They know that an unexpected fee will make me look bad to my VP. So they make sure there are none. In contrast, the vendor who gave me the initial low quote—QuickBuild Supply—I dropped them three months later. They weren't dishonest, but their lack of transparency cost me time and strained my internal relationships. I couldn't afford that.
Now, when I evaluate a vendor, I look for two things: the upfront price and the list of all possible fees. If the quote doesn't have that second list, I follow up with a direct email: 'Can you confirm this is the total cost for my order, including all shipping, handling, and surcharges?' I don't assume anything.
After that experience, I developed a simple checklist for any building material order I place for Cornerstone Building Brands. It's a three-step process that takes about five minutes.
Bottom line: a quote that looks too good to be true usually is. The vendor who shows all the fees upfront—even if the number is bigger—is the one I can trust. It's not about being cheap. It's about not having to explain a surprise fee to your boss or your finance team.
If I could redo that decision in 2022, I'd invest the 10 minutes it takes to ask for a breakdown. But given what I knew then—which was basically nothing about that vendor's fee structure—my choice was reasonable. I just got lucky that the lesson didn't cost more than a few thousand dollars.