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Aug23
Resourceful Re-Sourcing

Here's the scenario:  Your company sells a product that you decide you could get for a (much) lower price if you made it yourself in an overseas marketplace.  You get together a team of people and assign tasks to determine the feasibility of dropping your current vendor and doing it on your own. 

Fast forward to three months later.  You are practically no farther along in the process than you were when you started and you are now overwhelmed by the hurdles and challenges involved and think that only "those companies" you read about in articles can make overseas sourcing/manufacturing work. 

 

There is an alternative.  Don't try to drop your current vendor.  Instead, turn to your current vendor to have them re-source the items in question.  Let the vendor figure out how to get the items made overseas.

Your job in the Purchasing Department is to figure out how to purchase effectively, not to figure out how to manufacture the items all over the world.   As a Buyer, you have enough to do, don't volunteer for more, especially something of this magnitude.


1 Comments/Trackbacks




Our company decided to venture into such schemes recently, but due to some unfavourable circumstances, we could not continue our ploys. And i'm glad we did not took the responsibilities we could never handle. We should think thrice before stepping a giant leap.

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