This
is typically the first step for a company entering the Chinese market to take
advantage of the cost savings available, typically 20% to 30%. In taking this
step a company should firstly source established products to allow a direct
comparison in:
1.
Quality
2.
Cost
3.
Delivery Performance
4.
Product Performance
5.
Product Development Support
The
option to dual source established products initially would allow the client to
maintain continuity of supply. Andan can identify suppliers; conduct Quality
Audits to ISO 9001- 2000 and review and monitor the performance of the suppliers
to the customer’s specification. This initial step accounts for the majority
of the current trade with China at this time and will reduce as strategic
partnerships are developed.
Andan
can assist European and US companies in developing and improving product
sourcing to leverage the most benefits in cost and suppliers performance and
maintain qualified supplier development staff in China to help ensure
performance and facilitate product development for clients.