Executive Briefings

Do Low-Cost Country Sourcing Right, or Don't It at All

Low-cost country sourcing. It is perhaps the most provocative topic to hit the procurement field in decades. Some procurement executives are eager to share the amount of savings they've generated from sourcing in low-cost regions like China and India, while others are hesitant to even discuss the topic. It's been called the shortest path to bottom-line savings and it's been called un-American. Even the term applied to the concept (low-cost) has been debated for its emphasis on price over quality while the definition of "low-cost country" is subjective at best.
But no matter the opinion or perspective, one point is clear: If you're going to embark on low-cost country sourcing, you better do it right.
Source: Purchasing, http://www.purchasing.com

Low-cost country sourcing. It is perhaps the most provocative topic to hit the procurement field in decades. Some procurement executives are eager to share the amount of savings they've generated from sourcing in low-cost regions like China and India, while others are hesitant to even discuss the topic. It's been called the shortest path to bottom-line savings and it's been called un-American. Even the term applied to the concept (low-cost) has been debated for its emphasis on price over quality while the definition of "low-cost country" is subjective at best.
But no matter the opinion or perspective, one point is clear: If you're going to embark on low-cost country sourcing, you better do it right.
Source: Purchasing, http://www.purchasing.com