Saving costs and improving quality with China sourced items

A public road work company needed to replace a large amount of ageing equipment. The contractor normal supplier quoted both a high price and a long delivery period.

APECYD researched the China market and determined that the order could be placed in China. APECYD selected the supplier, drafted the necessary contracts and arranged for the purchase and shipping to Europe.

The client saved in excess, received the equipment in half the time quoted by the fastest European supplier and was delighted to find that the quality was better than was available locally.

Vendor identification, assessment and selection

A manufacturer with an established production base in China was unable to find an acceptable China supplier for a core service that the manufacturer wished to outsource. As a result, they were importing a high cost finished component because they believed one of the key finishing activities was not available in China.

APECYD identified a number of possible providers of the key finishing work. These varied considerably in their levels of sophistication and the corresponding control effort required by the manufacturer. After investigation and assessment APECYD provided a recommended short-list to the manufacturer analyzing the various suppliers' strengths, weaknesses and prices.

The manufacturer concluded an outsourcing contract with the most suitable vendor and was able to significantly reduce procurement costs, lead times and inventories.