Final Project finished

Product Evaluation
Employee Information
Vendor Name Vendor #
Commodity Date
Ratings
Weight Sub-weight Score (5 point scale) Weighted Score Total Weighted Score
Material 25
#2 lead 13
Wood 12
Design 15
Length 5
Shape 5
Color 5
Prerequisites 20
Erasers 10
Pre-sharpened 10
Packaging 15
Packaging Peanuts / BubbleWrap 5
Arrival Condition 10
Product Development 15
Durability 8
Comfort 7
General 10
CustomerSatisfaction 5
Cost effective 5
Max Total Points = 100
5 Point Rating Scale
“0” = Lowest; “5” = Highest
Total Weighted Score
0 = not acceptable, 1=dissatisfied, 2=somewhat satisfied,3 =moderately satisfied,4 =fully satisfied, 5 = outstanding
Material
#2 lead –Type oflead is #2
Wood –Quality ofwood, such as solidity and strength
Design
Length –Lengthofpencil is 7 inches
Shape –Shapeofpencil is roundor angled
Color –Color matches withexpectation
Prerequisites
Erasers –Quality oferasers
Pre-sharpened –Lead ofeach pencilis properlysharpened
Packaging
Packaging Peanuts / BubbleWrap–Pencils arecompletely protected by packaging peanuts orbubblewrap
Arrival Condition –Conditionofpackages and pencils
Product Development
Durability–lead and wood ofpencils strong enough touselong-term
Comfort –Thickness ofpencil is proper tograbcomfortable
General
CustomerSatisfaction –Comments and customerfeedback ofproducts in general
Cost effective –Reasonable costs to compareother companies

Supplier Evaluation
Vendor Name Graphite Pen & Pencil Manufacturer Vendor # 000126
Commodity pencil Date Oct 1, 2014
Ratings
Delivery Performance 10
7.2
On-Time Arrival 3 4 2.4
Congruency topackageSpecs. 4 3 2.4
Accountability 3 4 2.4
Financial State 10
6.8Turnover Ratio 4 4 3.2
Net Income/Profitability 6 3 3.6
Management Style 10
7ManagementCapability 5 3 3
Employee Morale 5 4 4
Customer Satisfaction 10
6Feedback 5 3 3
CustomerRetention 5 3 3
ContinuousImprovement 10
7.6
Environmental Prowess 2 3 1.2
Safety 4 4 3.2
Productivity 4 4 3.2
Certifications 10
ISO 5 3 3
MBNQA 5 2 2 5
Dependability 10
7Performance 5 3 3
Availability 5 4 4
Cost Analysis 10
6Obligation to Cost Reduction 5 3 3
CompetitivePricing effectiveness 5 3 3
Service 10
Response toCrises 5 4 4
Invoice correctness 5 3 3 7
General 10
7Ethics 5 4 4
Culture 5 3 3
Max Total Points =100
“0” =Lowest; “5” =Highest
0 = Not Acceptable,1 =Dissatisfied,2 =Alittle Satisfied,3 =ModeratelySatisfied.4 =Satisfied, 5=Outstanding
66.6

Supplier Evaluation
Vendor Name Hangzhou Jiefa Materials Co., Ltd. Vendor # 000125
Commodity Pencil Date Oct 1, 2014
Ratings
Delivery Performance 10
10
On-Time Arrival 3 5 3
Congruency topackageSpecs. 4 5 4
Accountability 3 5 3
Financial State 10
10Turnover Ratio 4 5 4
Net Income/Profitability 6 5 6
Management Style 10
10ManagementCapability 5 5 5
Employee Morale 5 5 5
Customer Satisfaction 10
10Feedback 5 5 5
CustomerRetention 5 5 5
ContinuousImprovement 10
10
Environmental Prowess 2 5 2
Safety 4 5 4
Productivity 4 5 4
Certifications 10
ISO 5 5 5 10
MBNQA 5 5 5
Dependability 10
10Performance 5 5 5
Availability 5 5 5
Cost Analysis 10
9Obligation to Cost Reduction 5 4 4
CompetitivePricing effectiveness 5 5 5
Service 10
Response toCrises 5 5 5
Invoice correctness 5 4 4 9
General 10
10Ethics 5 5 5
Culture 5 5 5
Max Total Points =100
“0” =Lowest; “5” =Highest
0 = Not Acceptable,1 =Dissatisfied,2 =Alittle Satisfied,3 =ModeratelySatisfied.4 =Satisfied, 5=Outstanding
98

Delivery Performance
PromiseTime –On timedelivery ofproduct
Performance –Delivery process, handling, shipping
Accountability –FOB shipping/destination, reliable,product safety
Financial State
Turnover Ratio –A company’s ability touseits assets togenerate sales or revenue
Net Income/Profitability -Whether they areprofitableor not
Management Style
ManagementCapability –Employee/laborrelations
Employee Morale –Generalattitudes ofemployees
Customer Satisfaction
Feedback –Whatcustomers haveto say aboutcompany?
CustomerRetention–How well company maintains its customers
ContinuousImprovement
Environmental Prowess –How concernedcompany is withenvironmental factors
Safety –OSHA, following manuals, procedures, processes correctly
Productivity –How effective they areinproducing their products
Certifications
ISO – Promote environmental awareness andprotectionas wellas pollutionprevention. Reductionofcarbonfootprint.
MBNQA –A National awardto recognizequality improvement among manufacturing, service, and smallbusiness organizations in the U.S.
Dependability
Performance –Deliver and provideproduct intimely manner
Availability–Good communicationon order, haveenough product to satisfy required quantity
Cost Analysis
Cost Reduction Efforts –Deals,discounts, effort put in
CompetitivePricing –Pricing competitive/fair with competition
Service
Response toCrises –Ability toact quickly tounforeseenevents andcircumstances resulting fromungodly events orhumanerror tokeep thecustomer
happy
Invoice Correctness –Having allthecorrectinformationas itwas whenit was at thetimeofsale
General
Ethics –All work is done rightwithout ethicalproblems/dilemmas
Culture –Positivecompany culturewithinorganization
Philosophy–On the correct path for futureofbusiness

Global Supplier information
Supplier name: Hangzhou Jiefa Materials Co., Ltd.
Address: D-515, No. 11 Xiyuan 8th Road, West Lake Science and, Technology Park, Hangzhou, Zhejiang,
China
Business Type: Trading Company
Business period: 2007 – present
Certificate: EN-71, ASTM-D4236, T963, FSC-SECR-0200, ISO9001:2000, ISO014001-1996
Total Revenue: U.S. $2.5 Million – U.S. $5 Million
Main Markets: Western Europe, North America, Oceania, Eastern Europe, Northern Europe
Number of Employees: 11 - 50 employed
Domestic Supplier Information
Supplier name: Graphite Pen & Pencil Manufacturer
Address: 1759, Bishop, CA, 93515
Size of company: small organization
Longevity of Business: 45 years as of 2014
Union / Nonunion: Nonunion
ISO Status: Company meets federal safety standards
On site manufacturing: Yes
Shipping for global supplier
Shipping methods: Ocean shipping – We are ordering pencils from china so either air or ocean shipping would
be required. Since ocean shipping is cheaper than air, and our company
has enough time to wait, ocean shipping was the prevailing method
chosen.

Rail – Once our products arrive at ports at the west coast line, they will be shipped to
Wisconsin. In this case, train is more effective because it takes less time and cost for
the required shipping.
Truck – When the product arrives at Wisconsin, a truck is to deliver the packages directly to
WCTC.
Advantages of shipping methods for global supplier
Ocean shipping – The vessel can carry a larger amount of products compared to airplane or truck.
It is the most carbon-efficient mode of transportation and produces fewer grams of
exhaust gas emissions for each ton of cargo transported compared to air, rail, or
road transport.
Rail shipping – It can be more cost-effective than distribution by road in a continental distance.
The safety of product is higher than other methods; therefore the cost of insurance is lower.
Truck shipping – It is more efficient in a short distance since ground transport is designed to deliver directly
from sender to recipient or “door to door” transportation.
It will be cheaper and a smarter than other methods due to the short haul from train to the
destination. Also, it is highly flexible and can go wherever there are roads or streets.
Disadvantages of shipping methods for global supplier
Ocean shipping – It takes long time to receive products compared to air transport.
Ocean shipping methods are constantly under threat of being attacked by pirates who steal
the cargo ships’ contents.
Rail shipping – It has less flexibility because the routes and timings cannot be adjusted to individual
requirements.

It requires huge capital investment in construction and maintenance of rail road, which is tied
to a particular track.
Truck shipping - It is more expensive for long hauls than some competing modes of transportation.
The amount of products it can carry is less than other methods.
Shipping for Domestic Supplier
Type of shipping method: Ground, UPS truck.
-To reach Wisconsin from California, it will take approximately 5 Business days or less.
Why this Method was chosen and its advantages
1. There is a short waiting period for the product to complete transit from time of order to destination.
2. The ground transit route is cheaper and the product arrives in a timely manner.
Disadvantages of ground transit method
1. One of those disadvantages is that since it is winter in the states between California and Wisconsin, the
weather may be a setback.
2. Air or train could be safer and faster than ground.

REQUEST FOR QUOTATION
(International)
Waukesha County Technical College
800 Main Street, Pewaukee, WI 53072
262-691-5555
SCMcontact@wctc.edu
DATE: ____OCT _1_____________
R.F.Q. # __004514________________
PLEASE REFERENCE RFQ# ON FUTURE
CORRESPONDENCES
VENDOR Mr. Tony Guo
Hangzhou Jiefa Materials Co., Ltd
D-515, No. 11 Xiyuan 8th Road, West Lake Science
and, Technology Park, Hangzhou, Zhejiang, China
310030
[Phone] 86-571-28866668-9017
Customer ID DEF1234
SHIP
TO
Waukesha County
Technical College
800 Main Street,
Pewaukee, WI 53072
SHIPPING METHOD SHIPPING TERMS REQUESTED DELIVERY DATE
Sea Freight FOB destination Mar 10, 2015
QTY ITEM # DESCRIPTION PRICE
2000 Pencil black Pre-sharpened, erasers, #2 lead, 7 inches
2000 Pencil white Pre-sharpened, erasers, #2 lead, 7 inches
2000 Pencil yellow Pre-sharpened, erasers, #2 lead, 7 inches
2000 Pencil green Pre-sharpened, erasers, #2 lead, 7 inches
2000 Pencil blue Pre-sharpened, erasers, #2 lead, 7 inches
SUBTOTAL
SALES TAX
TOTAL
1. Please complete & return this RFQ by _______Oct 7______________.
2. Please notify us immediately if you are unable to complete this RFQ for any reason.
3. Send all correspondence to:
Minseok Ko and Travis Olson
800 Main Street
Pewaukee,WI 53072
262-271-7440
mko@wctc.edu
Authorized by Date

REQUEST FOR QUOTATION
(Domestic)
800 Main Street, Pewaukee, WI 53072
262-691-5555
SCMcontact@wctc.edu
DATE: 12/01/2014
R.F.Q. # ______004515_________
PLEASE REFERENCE RFQ# ON FUTURE
CORRESPONDENCES
VENDOR GPencil
Graphite Pen & Pencil Manufacturer
PO BOX 1759
1325 Rowan Lane,
Bishop, CA, 93515
1-(800)-873-1782
Customer ID DEF1234
SHIP
TO
Waukesha County
Technical College
800 Main Street,
Pewaukee, WI 53072
SHIPPING METHOD SHIPPING TERMS REQUESTED DELIVERY DATE
Truck FOB Destination Mar 10, 2015
QTY ITEM # DESCRIPTION PRICE
2,000 Pencil black Pre-sharpened, erasers, #2 lead, 7 inches
2,000 Pencil white Pre-sharpened, erasers, #2 lead, 7 inches
2,000 Pencil yellow Pre-sharpened, erasers, #2 lead, 7 inches
2,000 Pencil green Pre-sharpened, erasers, #2 lead, 7 inches
2,000 Pencil blue Pre-sharpened, erasers, #2 lead, 7 inches
SUBTOTAL
SALES TAX
TOTAL
1. Please complete & return this RFQ by _______Oct 7______________.
2. Please notify us immediately if you are unable to complete this RFQ for any reason.
Minseok Ko and Travis Olsen
800 Main Street
Pewaukee,WI 53072
262-271-7440
mko@wctc.edu
Authorized by Date

Cultural Analysis
Economy
Since 1980s, China has achieved dramatic success in economic development. The economy is now a market-oriented
one, opposed to being a centrally-planned system, with a rapidly increasing private sector. Having the fastest growing
economy in the world, the GDP is expanding at an annual average rate of around 9% over the past two decades. China is a
global economic force and has become one of the world’s largest trading countries. The benefits are increased access to
foreign markets due to the joining the World Trade Organization in 2001. It is now the second-largest economy in the
world after the United States.
Political situation
Since the early 1990s, China has regained its strength in economic reforms. Legal reform has become a government
priority with efforts in areas of modernizing legal personnel, developing criminal law procedure, and anti-abuse of
authority. In order to promote economic reforms, a number of laws and regulations have been passed and aimed at
promoting foreign investment and trade as well as liberalizing the economy. China, in early 2000, revised severallaws
dealing with the quality of products, protection of the environment, regional autonomy of the minorities, and laws on
foreign investment and trade. It has also intensified its effort in fighting government corruption. Consequentially, China is
developing its legal system in terms of foreign investment and companies to protect and increase their markets.
Business dress
Normal dress for man is conservative subtle colors. For woman, normal dressing consists of shorter sleeve blouses and
non-high healed shoes. Neutralcolors are generally worn by both genders. Conservative dressing is extended to casual
wear as well. For business meetings, jeans are not acceptable. Revealing clothing on women is especially offensive to
Chinese businessmen.
Appropriate greetings
Bowing or even nodding of the head are both a common greeting in China. You may be offered a handshake as a formal
greeting as well. Waiting for Chinese businessmen to extend their hand first is a respectful impression. Formal
introductions are required to see formal titles when people first meet.
Business Etiquette

In order not to appear greedy, a gift will not be immediately taken in China, but refused severaltimes before finally being
accepted. Therefore, each time it’s refused,it is better to graciously continue to offer the gift. When the gift is offered,it is
more respectfulto use both hands and the gift must be gift-wrapped even though it won’t be opened it front of provider, it
will be set aside and opened later instead. To offer a clock, sandals made from straw,the birds crane or stork, a
handkerchief, or anything white, blue, or black will be associated with death. These colors should be avoided all together
just to be safe.
General items to know
Generally, using large hand movements and touching a woman in public are both highly inappropriate. Pointing during
speaking is also not proper communication behavior. Early or on time arrival of guests is a requirement. To stay courteous
of a different culture, a business person should taste all the food dishes that are offered to them. The business person is
never to places his or her chopsticks straight up in its bowl. To Drop chopsticks would be considered bad luck. Lastly, you
would not want to place your chopsticks straight up in your bowl.
Supplier Choice and Risk Analysis
Chosen Supplier:Hangzhou Jiefa Materials Co., Ltd. (International supplier)
Reasons why;
Information availability
This particular international company had more information on their websites in terms of certifications, such as
ISO. They had more uploaded detailed information compared to domestic company we have searched.
Designand quality of product
The international company had more options for color and shape than the domestic company. Our international
company also had more options for quality of wood from mild to hard.
Competitive price
The pricing for the pencils is very attractive since the price is 10 times less than the cost of domestic pencils.

Green product
Another benefit of choosing outsource globally is that the global supplier we picked is a “Green Company” so
there is much less of a “Carbon Footprint” when choosing this supplier over domestic.
Risks of sourcing globally: If an order is placed for international supplier, it takes more time than domestic
products. For example, it takes nearly a month if the company ships it through the ocean since it needs to go
through train and truck on ground once products arrive at a port.
Another risk of sourcing globally could be attack from pirates and weather. Accidents could be happened when
the weather is bad on the ocean. And the number crimes of pirates are increasing today.
Risks for sourcing domestically: Firstly, the pricing compared to our global supplier is subpar due to the pricing
being more than 10 times the pricing. For example, domestically, the pricing for pencils is $0.215/pencil
compared to the $.024 when contracted globally.
Secondly, our global supplier is a “Green Company” and our domestic supplier is not.
Ways to mitigate possible risks
1. Contacting the supplier to ask any possible questions regarding any questions or issues that come
to light.
2. Reaching out to past customers the company has provided service to, if possible, to get the
perspective from someone else other than the supplier about the workings, quality and
satisfaction they have had with the supplier.
3. Have some insurance on the products say if the cargo was compromised by unforeseen events.
4. Have F.O.B destination parameters set for the order so that the supplier is liable for any and all
possible issues.
5. Order earlier so that if there are any issues, there is enough time for a reorder.

Purchase Order
800 Main Street. Pewaukee, 53072 WI US
262-271-7440
DATE: MARCH 9, 2015
P.O. # [100]
VENDOR Mr. Tony Guo
Hangzhou Jiefa Materials Co., Ltd
D-515, No. 11 Xiyuan 8th Road, West
Lake Science and, Technology Park,
Hangzhou, Zhejiang, China
310030
[Phone] 86-571-28866668-9017
Customer ID DEF1234
SHIP
TO
Minseok Ko and Travis Olsen
800 Main Street
Pewaukee WI 53072
[Phone] 262-271-7440
Customer ID [ABC12345] ?
SHIPPING METHOD SHIPPING TERMS DELIVERY DATE
Sea Freight FOB Destination May 10, 2015
QTY ITEM # DESCRIPTION UNIT PRICE
LINE
TOTAL
2000 Pencil black Pre-sharpened, erasers, #2 lead, 7 inches $0.04/Pencil $80.00
2000 Pencil white Pre-sharpened, erasers, #2 lead, 7 inches $0.04/Pencil $80.00
2000 Pencil yellow Pre-sharpened, erasers, #2 lead, 7 inches $0.04/Pencil $80.00
2000 Pencil green Pre-sharpened, erasers, #2 lead, 7 inches $0.04/Pencil $80.00
2000 Pencil blue Pre-sharpened, erasers, #2 lead, 7 inches $0.04/Pencil $80.00
SUBTOTAL $400.00
SHIPPING COST $100.00
TOTAL $500.00
4. Please send two copies of your invoice.
5. Enter this order in accordance with the prices, terms, delivery method,
and specifications listed above.
6. Please notify us immediately if you are unable to ship as specified.
Minseok Ko,Travis Olsen
800 Main Street.Pewaukee,
Pewaukee WI53072
262-271-7440
Authorized by Date

Reflection (Minseok Ko Tony)
At the beginning of class, I simply assumed that there will be a system for supply chain management to
successfully create contracts between suppliers. However, I didn’t know that it required such an involved
complicated process. One of the most important things I learned from this class was product and supplier
evaluation forms, namely, the grading scale and method used was quite scientific. By specifying each category,
a company can analyze not only the quality of products, but also the environment of their business.
The other Interesting information I learned from this project was economic and political development of
China. I didn’t know that china is the second largest economy in the world. Their GDP is dramatically
increasing compared to other countries. From this, I realized that more information and research are necessary
to compete in China today due to their competitive nature. For example, the minimum wage is increasing in
China, thus: some companies are moving their manufacturing lines to other countries, such as India and
Indonesia.
Lastly, I thought the supply chain management was limited to negotiating with suppliers and buying
products from them. I realized that I was misguided for the reason that supply chain mangers always need to
communicate with other departments to integrate and analyze flow of products and relationship between
suppliers. Also, today’s trend in business is reducing cost of products even more so for customers while
switching from a “If you build it, they will come” approach to more of a “Make what the customer wants”
approach. Supply chain mangers have the main roll in this trend.
I want to become a successful leader or CEO of an organization in my future. When I say successful
leader, I mean not just making the company and myself more financially secure, but also a leader that people
respect and can see of as a comrade. I want to be one whom isn’t just in it for the money but for the future of the
company and the people who revolve around that company. The knowledge of supply chain management is, to
me, a critical aspect to conducting good business practices and deserves more spotlight than people may realize.
Mostly, I could use this knowledge to maintain favorable relationships with suppliers by participating in each

department to create a corporative work environment that will bring about more favorable profits and reduce
overhead costs even more so.
If I have an opportunity, I would appreciate the opportunity to work in a supply chain. One of the
advantages I see is being able to create a more long term meaningful relationships with people I meet through
business practices. It will be quite interesting to evaluate products and suppliers when seeking opportunities to
increase outputs of both syndicates. Furthermore, there are a fair amount of CEOs, who pursued supply chain as
their career, in global companies. Therefore, I feel as though I will have more opportunities to grow into a CEO
position of an organization if I work in a supply chain field using what I have learned here in class and
implementing my knowledge in the real world.

Reflection (Travis Olson)
Without being familiarized with the concept of supply chain management first, chances are that when
you have to purchase goods or services for your career field, it might seem overwhelming and may have you
lose some of your ambition and replace it with a fair amount stress. There is a considerable amount of
appreciation I have for what I have learned in our supply chain management course. Being able to source,
negotiate, and procure goods or services for a company is not a small feat and should not be taken lightly. This
project has given me the opportunity to use much of what has been taught to me and utilize it all that
information at the same time. Having taken this class has given me surprising amount of self-assurance that
when the time comes for me to put this all into practice, that I will know what to look for and what is expected
so that there are much better odds of making qualitative decisions for the betterment of everyone involved.
Having everyone follow the same policies and procedure can be a difficult task but once everyone is on
the same page, there is a larger amount of proficiency in the way the business is run. Managing to simplify and
reduce efforts is a challenging feat but it is every bit as important as following policies and procedures. When
work becomes less stressful, employees are, in turn, happier, which trickles all the way through the company
and onto the customers. Happy customers’ means more business and more business leads to a pleasant
consistent circle of rewarding actions between the buyer and consumer. To quote Buddha, “Thousands of
candles can be lighted from a single candle, and the life of the candle will not be shortened. Happiness never
decreases by being shared”.
If there is something that I really have taken away from our class it is that where there are successful
businesses, namely, through procurement specialists, there is almost always a solid foundation of knowledge
stemming from a teacher or experienced mentor. For a clearer understanding of what I am saying is that to be
successful doing anything, you need to involve yourself both mentally and realistically so as to have that overall
understanding of how to best show what you can do

To do something and be good at it, you must put in a considerable amount of time and effort. I
undoubtedly believe that I will apply what I have learned in this class, along with many other classes,
congruently in any and every job title I find myself in.
Having a plan for the future, involving myself in the right activities and working in a field where I feel
what I am doing is really making a difference in someone’s life is ultimately what I look forward most. These
kind of aspirations are far from achievable without the right focus, certifications or degrees in this day and age.
There is nothing more bittersweet to me than to earn my degree in my field so that I will not work a day in my
life but rather live doing what I have been working for my entire life.

Reflection
The World Facebook. (2014, January 1).
Retrieved from https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html
Jiefa China. (2014, January 1).
Retrieved from http://jiefachina.en.alibaba.com/company_profile.html
Graphite. (2014, January 1).
Retrieved from http://www.gpencil.com/product/PM400.php

Final Project finished

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