Here is a case study by Dragon Sourcing on Glass and Wooden Decorative Pots Sourcing Project covering South-East Asia, Eastern Europe & Turkey. For details contact: www.dragonsourcing.com

1. Glass and Wood Decorative Pots
SE Asia, Eastern Europe & Turkey Sourcing Project
Case Study
Dragon Sourcing - 龙 源
Delivering sustainable sourcing value from emerging markets

2. 1. Project Planning and Sourcing Strategy
2. Progress Reports
3. RFI Report Example
© 2018 Dragon Sourcing. All rights reserved.
Agenda
2

3. © 2018 Dragon Sourcing. All rights reserved. 3
No. Steps in stage 1 Deliverables
1.
Demand Analysis
Work with the client to define and understand the products and requirements (specs, volumes, current unit
prices, delivery destinations of delivery/consumption).
• Kick-Off Report
2.
Supply Market Analysis
Identify long list of potential manufacturers in target countries by leveraging B2B websites, DS database, fair
catalogues, Chamber of Commerce, magazines, network, references.
• Supplier Long List
3.
Telephone Pre-screening
Selection of manufacturers to be included in the RFI/RFP process by telephone pre-screening based on
agreed simple criteria (e.g. capability to make the product, can export, interest in participating, etc.)
• Shortlist for RFI-RFQ
process
4.
Develop RFI/RFQ document
Prepare an RFI/RFQ document, with an aligned balanced scorecard that has the objective to pre-qualify the
competitiveness and capabilities of the manufacturers, including: background, financial, client and product
experience, quality certification & processes, social responsibility, manufacturing/technology capability, R&D
capability.
• RFI-RFQ Template
• Balanced Scorecard
5.
Administer RFI/RFQ:
The RFI/RFQ is translated to the local languages as relevant, and distributed to the relevant manufacturers,
with telephone follow-up to push for maximum participation.
• Completed RFI-RFQ’s
6.
Analyze RFI/RFQ Responses:
Analysis of RFI/RFQ responses, estimation of logistics costs, and preparation of a report, which profiles &
objectively ranks the manufacturers by capability and competitiveness, including a recommendation for
those to be audited.
• RFI-RFQ Report
• Supplier Profiles
• Proposed Shortlist for
Audit.
Stage 1: Supplier Pre-Qualification

4. © 2018 Dragon Sourcing. All rights reserved.
Objectives and approach
Context
Project Objectives:
• Identify and recommend new potential competitive suppliers
Category and Scope
• Wood : SE Asia
• Glass: China, East Europe, Turkey
Example Products in the Project Scope:
DS Approach consists in the following work steps,
Stage 1
1. Demand Analysis
2. Supply Market Analysis
3. Telephone Pre-screening
4. Develop RFI/RFQ
5. Conduct RFI/RFQ Administration
6. Analyze RFI/RFQ Responses
4

5. Steps
Duration/week
commencing
Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9
1. Demand Analysis 1
2. Supply Market Analysis
(Long list supplier database)
2
3. Pre-screening the identified suppliers 2
4. Develop RFI/RFQ template for
validation
1
5. Administer RFI/RFQ process 3
6. Analyze responses & submit report 2
1
2
5
Project Schedule
Project is scheduled to be completed in 9 weeks.
today
© 2018 Dragon Sourcing. All rights reserved.
Not started Ongoing Finished Holiday Milestone

6. Demand Analysis,
The approximate yearly volumes and estimated yearly spend
6© 2018 Dragon Sourcing. All rights reserved.
# Category
Number of SKU’s in
category
Estimated Yearly Volumes
Estimated yearly
spend in US$
1 Wood 74 (total historical) units 28967 $391,153.05
2 Glass 229 (total historical) units 88806 $1,720,766.91

7. Pre-screening Stage to filter unsuitable suppliers before the RFI-RFQ process.
© 2018 Dragon Sourcing. All rights reserved. 7
• Suppliers not able to answer the question for “Must have” will be considered as disqualified for next step of RFI-RFQ process.
• TBC: To be confirmed.
No Examples of Pre-screening question Importance
1 • Are you manufacturer or trader? Traders Discarded
2 • Do you have export license? Must have
3 • Any quality certification like ISO 9001? Good to Have
5 • Do you have WRAP certification or similar social compliance?
Good to have
(RFI)
6 • Do you have LEED or similar certification?
Good to have
(l RFI)
7 • ....................

8. 1. Project planning and Soucing Strategy
2. Progress Reports
3. RFI Report Example
© 2018 Dragon Sourcing. All rights reserved.
Agenda
8

9. Supply market analysis table for each project step
Process Steps
Wood Glass
Total
SE Asia China Turkey East EU
Supplier Identification • Suppliers identified 115 90 9 21 235
Pre-screening
• Supplier passed pre-
screening
45 37 2 12 96
• Suppliers failed Pre-
screening
73 53 7 9 142
RFI-RFQ
Administration
• RFI-RFQ sent 45 37 2 12 96
• Intend to respond 10 15 2 9 36
• Don't intend to respond 35 17 0 3 55
• Number of both RFI-RFQ
received
9 +1 RFI 9 1+1 RFI 7+2 RFI 30
© 2018 Dragon Sourcing. All rights reserved. 9
RFI/RFQ
finished

10. RFQ Results of Wood Category showed savings ranging from 15 to 25%
© 2018 Dragon Sourcing. All rights reserved. 10
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
FOB
price
USD/pc
Wood
Type
1 31771 Teak NA NA $21.36 Teak $11.00 Teak $12.55 Teak $24.35 Teak $13.50 Teak NA NA NA NA $30.00 Acasia
2 032908 Teak NA NA $15.06 Teak $9.00 Teak $8.60 Teak $14.75 Teak $12.00 Teak NA NA NA NA $13.00 Acasia
3 034868 Teak NA NA $15.06 Teak $7.00 Teak $6.85 Teak $9.35 Teak $10.00 Teak NA NA NA NA $10.00 Acasia
4 031770 Teak NA NA $15.06 Teak $6.50 Teak $9.55 Teak $22.75 Teak $12.00 Teak NA NA NA NA $10.00 Acasia
5 7451-027 Alocasia $3.70 Acasia $4.99
Alocasia
Wood
$4.50 Teak $4.85 Teak $3.65 Teak $5.00 Teak $3.20
rubber
wood
$2.55
nacreou
s wood
or
rubber
wood
$2.50 Acasia
6 7451-028
Paulownia
Wood
$2.30 Acasia $3.37
Paulown
ia
Wood
$2.50 Teak $3.75 Teak $2.95 Teak $3.50 Teak $1.50
Rubber
wood
$1.10
nacreou
s wood
or
rubber
wood
$2.00 Acasia
7 4938-134 Teak NA NA $1.99 Teak $4.00 Teak $5.30 Teak $2.60 Teak $9.00 Teak NA NA NA NA $3.00 Acasia
8 8897-029 Plywood NA NA $9.73
Ply
wood
$6.00
Ply
wood
NA NA $2.75
Ply
wood
$10.00 Teak NA NA $1.91
Pine
veneer
covered
plywood
$4.50 Acasia
#
Product
Code
Picture
Supplier 10 Supplier 6Supplier 9 Supplier 4 Supplier 8 Supplier 1 Supplier 7 Supplier 5 Supplier 2
Original
Wood Type
THAILAND INDONESIA VIETNAM
Best
Price
Lower
Price
but
different
features
Highest
Price

11. RFI Scoring of Wood Category Suppliers
© 2018 Dragon Sourcing. All rights reserved. 11
Rank Supplier Name Market Total Score
1 Supplier 1 Indonesia 81%
2 Supplier 2 Vietnam 74%
3 Supplier 3 Thailand 63%
4 Supplier 4 Thailand 60%
5 Supplier 5 Vietnam 59%
6 Supplier 6 Indonesia 57%
7 Supplier 7 Vietnam 57%
8 Supplier 8 Indonesia 53%
9 Supplier 9 Thailand 49%
10 Supplier 10 Indonesia 44%
60% Av

12. Recommended Suppliers for Wood Category
© 2018 Dragon Sourcing. All rights reserved. 12
1st Group Suppliers
2nd Group Suppliers
RFI
Rank Supplier Name Market
Total
Score
Total
Rate
# of
Quoted
Items
1 Supplier 1 Indonesia 81% 80% 7
2 Supplier 2 Vietnam 74% 75% 8
3 Supplier 3 Thailand 63% 65% 0
4 Supplier 4 Thailand 60% 83% 8
5 Supplier 5 Vietnam 59% 68% 3
6 Supplier 6 Indonesia 57% 90% 8
7 Supplier 7 Vietnam 57% 70% 2
8 Supplier 8 Indonesia 53% 68% 8
9 Supplier 9 Thailand 49% 78% 2
10 Supplier 10 Indonesia 44% 60% 8

13. RFQ Results of Glass Category showed savings of 16% to 28%
© 2018 Dragon Sourcing. All rights reserved. 13
Best
Price
Lower Price
but different
features
Highest
Price
TURKEY
Supplier 7 Supplier 12 Supplier 8 Supplier 5 Supplier 13Supplier 18
Supplier
19
Supplier 20 Supplier 9 Supplier 6
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
FOB -
USD/pc
EXW-
USD/pc
Notes
EXW-
USD/pc
Notes
FOB -
USD/pc
Notes
EXW-
USD/pc
Notes
FOB -
USD/pc
Notes
FOB -
USD/pc
Notes
FOB -
USD/pc
Notes
1 8898-011 1.90 0.95 1.25 0.98 1.22 1.91 1.43 0.79 1.11 3.10 5.83
clear
glass, no
holes,
ind.pack.
NA NA 2.35
no holes,
no
frosting,
ind.pack
1.81
cold cut,
no holes-
frosting-
accessori
es,
NA NA 1.10
Machine
Made-
sized-10h-
20cm,
clear
3.20
no holes
and
frosting,
no accss
2 7453-002 1.70 2.50 3.40 1.60 1.21 NA 3.73 2.23 2.61 3.80 NA NA NA NA NA NA NA NA NA NA NA NA NA NA
3 8896-029 2.30 1.20 1.70 NA 0.70 NA 0.78 0.79 NA 3.10 5.83
only glass,
individual
packing
2.72
hot cut,
no
accss,
ind.
Pack
NA NA 1.60
cold cut,
no
accessori
es,
individual
packing
2.80
hot cut,
no accss,
ind.pack.
0.90
MachineM.
size:d-10,
h-17cm,
clear
glass, no
accss,
NA NA
4 7449-035 1.60 0.90 2.25 1.10 2.10 1.73 1.37 0.96 1.04 3.80 NA NA NA NA NA NA NA NA NA NA NA NA NA NA
5 7453-020 0.85 0.90 1.45 1.05 NA 1.58 1.69 1.19 0.65 2.90 NA NA NA NA NA NA NA NA NA NA NA NA NA NA
6 7452-007 0.85 1.20 1.60 1.00 1.75 1.64 1.19 0.99 0.86 2.40 NA NA NA NA NA NA NA NA NA NA NA NA NA NA
7 8896-015 1.65 3.50 2.60 NA 1.90 NA 2.11 NA NA 3.50 6.51 no base 9.27
hot cut,
no
accsss,
ind.pack
2.15
hot cut,
no base,
only
glass,
ind.pack.
1.13
hot cut,
size h-
10cm, d-
12cm,
opening –
7cm, no
base,
ind.pack
5.80
hot cut,
no
accessori
es,
ind.pack
NA NA 2.95 only glass
8 7446-004 1.20 0.85 1.70 1.09 1.05 1.87 1.76 1.21 1.11 NA NA NA NA NA NA NA NA NA NA NA NA NA NA NA
9 8896-028 0.90 0.65 1.20 0.88 1.52 1.69 1.52 1.21 1.26 NA NA NA NA NA NA NA NA NA NA NA NA NA NA NA
10 8896-018 1.20 2.75 2.70 NA 3.50 2.48 2.72 1.62 2.33 3.50 NA NA NA NA NA NA NA NA NA NA NA NA NA NA
Supplier 10 Supplier 16
POLAND
Supplier 4 Supplier 3 Supplier 11
#
Project
Code
Picture
CHINA
Supplier 1
SLOVAKIA
Supplier 15

14. RFI Scoring of Glass Category Suppliers
© 2018 Dragon Sourcing. All rights reserved. 14
Rank
Supplier
Name
Market Total Score
1 Supplier 1 Slovakia 87%
2 Supplier 2 Turkey 86%
3 Supplier 3 Poland 83%
4 Supplier 4 Poland 79%
5 Supplier 5 China 75%
6 Supplier 6 Turkey 75%
7 Supplier 7 China 74%
8 Supplier 8 China 74%
9 Supplier 9 China 73%
10 Supplier 10 Poland 73%
11 Supplier 11 Poland 73%
12 Supplier 12 China 71%
13 Supplier 13 China 70%
14 Supplier 14 Czech Rep 66%
15 Supplier 15 Poland 65%
16 Supplier 16 Poland 65%
17 Supplier 17 Poland 57%
18 Supplier 18 China 54%

15. Recommended Suppliers for Glass Category
© 2018 Dragon Sourcing. All rights reserved. 15
1st Group Suppliers
2nd Group Suppliers
Rank
Supplier
Name
Market Total Score # of quoted Items in RFQ
RFI
available?
1 Supplier 1 Slovakia 87% 3 Yes
2 Supplier 2 Turkey 86% Alternative Items Quotation Yes
3 Supplier 3 Poland 83% 3 Actual Products+ Catalogues Yes
4 Supplier 4 Poland 79% 3 Yes
5 Supplier 5 China 75% 9 Yes
6 Supplier 6 Turkey 75% 15 Yes
7 Supplier 7 China 74% 20 Yes
8 Supplier 8 China 74% 20 Yes
9 Supplier 9 China 73% 11 Yes
10 Supplier 10 Poland 73% 2 Actual Products + Alternative Items quote+ catalogue Yes
11 Supplier 11 Poland 73% 4 Actual Products + Alternative Items quote+ catalogue Yes
12 Supplier 12 China 71% 20 Yes
13 Supplier 13 China 70% 13 Yes
14 Supplier 14
Czech
Republic
66%
Alternative Items Quotation Yes
15 Supplier 15 Poland 65% 5 Yes
16 Supplier 16 Poland 65% 4 Actual Products + Alternative Items quote+ catalogue Yes
17 Supplier 17 Poland 57% Alternative Items Quotation Yes
18 Supplier 18 China 54% 10 Yes
19 Supplier 19 China 0% 14 No
20 Supplier 20 China 0% 16 No

16. 1. Project planning and Soucing Strategy
2. Progress Reports
3. RFI Report Example
© 2018 Dragon Sourcing. All rights reserved.
Agenda
16

17. RFI Report Example : The company reports for each supplier have been delivered in pdf
form including the documents (certificates, forms etc) from the suppliers.
© 2018 Dragon Sourcing. All rights reserved. 17

18. RFI Report Example
© 2018 Dragon Sourcing. All rights reserved. 18

19. RFI Report Example
© 2018 Dragon Sourcing. All rights reserved. 19