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Why do I need a Global Sourcing Strategy ?


Global Sourcing Strategy, Asia Sourcing or China Sourcing are terms that are constantly being talked about and searched for online. How do we define them and what are the benefits to your business or brand? Are they purely the remit of huge organisations or can smaller companies derive all the benefits to grow their business?

As a small business or brand start up competition can be tough and relentless. What can immediately help to build your competitive advantage is an effective Sourcing Strategy. The creation and delivery of which can rapidly deliver bottom line benefits as well as superior quality and compliance controls. Building your business profitably and protecting your brand reputation. The cornerstone of your long-term growth.The era of globalisation is still with us, despite the continual turmoil from the Pandemic and the War in Ukraine. Whilst the last few years have been difficult for many the opportunities to build your competitive advantage are still there and as strong as ever. Indeed, in many markets not sourcing from China or Asia and put you at a potential disadvantage.

So what should you expect a Sourcing Strategy to deliver to your business?

1. Cost savings: By sourcing goods and services from countries where skilled labour and materials costs are lower. Where factories have consistently invested in their capital equipment to ensure their innovation capabilities. Companies can reduce their costs and increase their competitiveness in the global marketplace.

2. Access to new markets: Global sourcing can provide access to new markets and new suppliers, which can help companies diversify their supply chain and reduce their dependence on any one supplier or market.

3. Increased efficiency: By leveraging the expertise and capabilities of suppliers around the world, companies can increase their efficiency and improve their supply chain performance.

4. Improved quality and Compliance: Global sourcing can enable companies to access suppliers with specialized expertise and capabilities, which can help improve the quality and performance of their products.

5. Enhanced innovation: Global sourcing can facilitate the transfer of knowledge and best practices between suppliers and companies, which can help foster innovation and drive product and process improvements.

6. Risk mitigation: A global sourcing strategy can help companies mitigate supply chain risks by diversifying their supplier base and reducing their exposure to geopolitical, economic, and environmental risks in any one region.

Overall, a global sourcing strategy can help companies increase competitiveness, reduce costs, and improve supply chain performance. However, it also requires careful planning, management, and coordination to ensure that the benefits are realised and the risks are managed effectively.

Potentially the most important decision to make is not whether to build a Strategic Sourcing plan but who to partner with to take those first steps into a new market. Where time zones, languages, communication expectations and ways of doing business maybe very different.

At ET2C we have been working with our clients for over 21 years. Working as our clients bridge to their Strategic Sourcing partners. Creating and delivering Strategic Sourcing plans. Working with Start Ups and E-Commerce companies to accelerate their competitive advantage, delivering quality and compliance. We have over 250 colleagues based in seven countries to give you feet on the ground to ensure your Sourcing plans are delivered effectively.

If you have any questions or would like to explore how you could benefit from our experience, please drop us a message at contact@et2cint.com and see how we could help you build your Global Sourcing Strategy and deliver increased competitive advantage.

Global Sourcing StrategyChina Sourcing Asia Sourcing