Safe sourcing in China and KPI in selecting suppliers
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Safe sourcing in China and KPI in selecting suppliers

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How dangerous it could be when sourcing from China? No matter what answer it is in your mind, following those tips from my pro-long sourcing experience in South China Pearl Delta Region would help to ...

How dangerous it could be when sourcing from China? No matter what answer it is in your mind, following those tips from my pro-long sourcing experience in South China Pearl Delta Region would help to make sure you sleep well.

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Safe sourcing in China and KPI in selecting suppliers Presentation Transcript

  • 1. Ben Chu, SAOS Founder - - 15 years of experience in China Sourcing, Supplier management - Previously worked in 3M, Black & Decker, EADS in their Asian operation capacity. Found of SAOS HK sourcing, providing fix-cost sourcing service to its European clients SAFE SOURCING IN CHINA AND KPI IN SELECTING SUPPLIERS
  • 2. “Usually, delivery risks are not communicated until too late” “Unable to see the real situation. I have to rely only on my supplier’s information.” “Poor quality is usually found after arrival. Even worst, we are unable to prove or to identify whether the problem is coming from supplier or transport” “Hard to negotiate anything. Unable to open higher level business discussion with my supplier’s contact” “I cannot ensure the quality improvement plan is really in place, although they said YES in all meetings” “We are buying everywhere from China, and delivery cost is difficult to control” “I see from exhibitions, my supplier has better products, but they don’t inform me”
  • 3. Challenge & Risk Selection •How do I make sure I buy at a reasonable price? •How do I make sure the product’s compliance is ok for the target market? •How do I protect my benefit legally? •How to negotiate with Chinese? Longlisting •Scam? •Do they make this product? •The “contact person” valid? •Are they just trader without value? Shortlisting •Do they meet our spec? •Do they have the right process for the work? •Do they really know what we want? •Can I meet my price target? New Product Industrialization •How to ensure right quality and delivery target?
  • 4. SAOS Anti Scamming Solution Custom Data Check upon government public database for register information Use of custom database like Panjiva to check for past activity Phone interview Call, talk and evaluate by experience Chinese Gov. register info.
  • 5. SAOS Sourcing Process
  • 6. Shortlisting and Selection Commercial offer Technical competence Supply Chain rationality Shortlist of highly relevant suppliers
  • 7. New Product Industrialization • Industrialize your product from design to final product ready to be manufactured. • Risks: • • • • Production efficiency At quality target At cost At delivery deadline
  • 8. Safe Suppliers Real trading Experience Product safety compliance Pre-audit Reasonable production workflow
  • 9. Safe Product • Product that fully complies with targeted market regulation. • Product that can be imported directly from China without safety risk. • ProductIP database as a state of art source of compliance information
  • 10. Save your total cost Low investment Low risk Highly qualified team Flexible to your strategy