Where to buy components or finished assemblies can often be a dilemma for many SME’s here in the UK. To be able to buy direct, supplier choice is often restricted to local or at best a Western European supply base, either through lack of resource or just no in-house experience. But to be competitive on unit price while maintaining the highest possible quality, sourcing from low cost countries often needs to be considered as a serious option. If cost and therefore margin is not a problem today… then it will be tomorrow!
A Companies purchasing strategy needs to align supplier and sourcing opportunities to continuously improve its bottom line. The best approach which may be a combination of all possible options is to develop a strategy that optimises your supply chain.
Increasing the percentage of items sourced from low cost countries is one approach. But finding the right supplier in China, ordering tooling, checking samples and sorting out the logistics is time consuming and without help can be a tough journey. New House can help create a road map to select and meet new and approved suppliers, set up communications, agree terms and conditions and sort out the logistics. We can also help with setting up your own assembly operation or Wholly Owned Foreign Enterprise – WOFE!