SupplierEvaluations Blog on International Trade, Wholesale Supplier and Low Cost Country Sourcing
High temperatures in Russia complicate supply chains of food around the globe
Comments: 0; Published: August 05, 2010 by Valery Zelixon; Permalink
Tags:
global trade,supply chain
How to Conduct a Supplier Visit
The 20th century philosopher, Yogi Berra observed, “You can sometimes see a lot just by looking.” Whether your task is an annual plant visit, a due diligence audit, or evaluation of a low cost country supplier, knowing the purpose, what to look for, and what to ask will produce better outcomes. Comments: 1; Published: July 21, 2010 by Administrator; Permalink
Logistics is key for international business success
It is a well known fact that carriers like Fedex, UPS, DHL are stronger in some markets and weaker in others. For instance DHL is stronger in certain countries of Eastern Europe while UPS providers better services in Western Europe and Fedex in the US. When considering international operations one has to consider options that depend on the local market conditions.
Comments: 0; Published: July 08, 2010 by Valery Zelixon; Permalink
Tags:
supply chain
How to Rate Supplier Performance
Purchasing Magazine regularly surveys its readers about supplier evaluation. The numbers vary slightly by year but an average of three quarters business purchasing departments have a system (formal or informal) for rating supplier performance. Would you be surprised to learn and Price is rated highest by fewer than 15%? The four elements of cost are: Quality, Service, Delivery, and Price (QSDP) TCO =the sum of the cost elements in QSDP, or TCO = Quality + Service + Delivery + Price The importance of each element of QSDP will vary with the item purchased. Maintenance Repair and Operations (MRO) parts offer a good example. A buyer may be more concerned with having parts on hand at the supplier (Delivery) than with the Price. Downtime costs caused by not having an inexpensive low value item available would far outweigh any Price advantage and thus is probably worth a higher price. The buyer attains its objective of availability and lower TCO. Economically, it may cost the supplier more to warehouse the customer’s parts and thereby justify a slightly higher price. The supplier may understandably try to leverage that advantage into the highest supportable price. It the price gets too high, the buyer will recalculate its TCO. Meaningful supplier evaluations are based on objective measures using the principles of TCO. To effectively evaluate a supplier’s performance, each of the QSDP elements should be further broken down into sub elements. Here is one way we .could break down each of sub-element of QSDP.
Comments: 0; Published: June 25, 2010 by Administrator; Permalink
Avoid supplier fraud in China
The differences are not only cultural, they are also very present in any business dealings. We have all read stories about the work ethic that seems to be embraced throughout most of the country and, it is certainly very different from the one that exists in most of North America. Comments: 0; Published: June 18, 2010 by John Hill; Permalink
Tags:
china sourcing,supplier fraud
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Is it global warming or just a bad year? Record temperatures in Russia this summer triggered Russian government’s response of stopping the export of wheat. As Mr. Putin put it in Russian – reserves don’t hurt ones pocket. As we live in the all connected world this decision caused significant waves in food supplies and futures trading. The decision immediately triggered a sharp rise in the value of futures for delivery of wheat in the world. At the Chicago Mercantile Exchange, the December futures on wheat rose by $ 0.6 - to $ 8.155 a bushel. The global prices on wheat rose 7.3%.
When it comes to expanding your business internationally, logistics can make or break the entire operation. You can find a great supplier, negotiate great prices, goods quality and terms of payment . But if you can’t get the goods you need shipped to the customer as expected all your efforts can end up with nothing. 
So much has been written about China – some of it making the entire country sound so incredibly exciting and exotic and some of it making the area sound a little bit scary.
