Case Study

A US company A contacted us for potential cost savings. Here is how this company increased profits. 

1, We had a meeting and discussed critical manufacturing issues, potential sourcing products and volumes. Company A provided samples and purchasing specs. We understood their product lines and sourcing strategy. 

2, Our Sourcing Offices in China surveyed 48 Chinese manufacturers in one month. 16 Chinese manufacturers had been requested for quote. 7 Chinese manufacturers quoted for multiple products to make sure their cost structure is consistent. 

3, All quotes had been converted to landed costs which include shipping and tariff. 

4, Company A went to China with us and conducted on-site assessment for 4 manufacturers and picked up one supplier. We start tracking raw material prices in China and monitoring supplier performance. 

5, Chinese supplier provided first sample. Company A, Supplier, and us had multiple three-way conference phone calls to solve quality, manufacturing, and delivery issues. 

6, Company A placed PO for pilot production run, followed by regular production PO . 

7, We arrange international logistics, handle customs clearance, and deliver products to client warehouse 

8, Monthly performance review meetings have been conducting with supplier senior management to continuously improve supplier performance. 

9, Company A sourced more products from this supplier and achieved average 45% cost savings
 
 
 
Resources
US Customs Services

US Embassy in China

US-China Business Council

China Certification & Inspection Group