Global Sourcing Specialists can help

Monday, 3. October 2011

If you are a corporation that wants to survive in a global society, it is time to consider Global Strategic Sourcing for part or all of your production and new product development. Approximately 80% of companies have at least considered doing just that.

Global Strategic Sourcing

Is your customer demand outstripping your capacity? Global Sourcing Specialists can help by finding reliable manufacturers to be your
strategic partners.

Would reduced production costs of 25-75% breathe new life into a marginal product? Global Sourcing Specialists gives you a guarantee
on cost savings for those components or full products that qualify for offshore sourcing.

Would it help the bottom line to not have to add staff? Global Sourcing Specialists can help in two ways. First, we work on just your
projects. There are no benefits, salaries, or payroll taxes to incur. Secondly, the sources we find for you act as your staff and strategic
partner without the burden of becoming employees.

Have you tried to hire someone who can do global strategic sourcing? That is a special talent and experience that can be expensive. Will your company
utilize that talent 100% of the time? If not, Global Sourcing Specialties is your answer. We have many years of hands on experience and
a wide variety of knowledge of manufacturing procedures, materials, and troubleshooting.

Do you need help with new product development? Global Sourcing Specialists has taken over 300 products in various industries and combinations
of materials from "sketch on a napkin" to first article production, most with tight lead-times. Developing new products is the perfect scenario for using our firm. Projects are what we do.

Not every product is suited for offshore outsourcing. Ideally any process/product that is labor intensive and is produced in quantity,
or compact in nature is an ideal candidate. Very expensive large items that are small in quantity are also candidates. Global Sourcing
Specialists can evaluate your components and products to help you determine what makes sense to quote offshore.

These are both exciting and trying times for U.S. companies. The world is "shrinking" in terms of manufacturing. Our country is experiencing
the largest macroeconomic shift in our economy that it has ever seen. Be ready to compete by allowing Global Sourcing Specialists to serve you.

What is Global Strategic Sourcing?

Global Strategic Sourcing may sound like a mysterious and difficult project but the process can be simplified. Global Sourcing Specialists strives to do just that for its customers.

Negotiation usually conjures up an image of a hard driving purchasing professional making sure the scales of the outcome are tipped in favor of the company for which he/she works. In some instances this attitude is needed to force a vendor to be more accommodating.

In strategic sourcing however, the vendor is chosen by using a win/win mentality. The "negotiations" require an advanced form of negotiating skill set. This sourcing technique requires that each party "check their respective egos at the door." The vendors considered for this kind of long term partnership must be pre-qualified before any negotiation begins. The vendor(s) must be expert in the type of manufacturing they will do, be financially stable, trust-worthy to deliver on time, and have a sophisticated quality program in place.

The first rule in forming a strategic partnership is that both parties will benefit from the partnership. It will be a win/win for both. On this basis both parties can be most candid in their needs and long term vision.

The negotiating team on both sides of the table should possess very strong communication skills. The customer must be able to list all the necessary components they require in the partnership. In turn the vendor must be candid as to what it is able to do and what may not be in the realm of reality. The goals and objectives must be common to both parties. Once both parties understand the vision and goals plans can be laid out and obstacles tackled jointly.

There is an underlying trust that must exist between the customer and the vendor. Information, sometimes proprietary to the customer and also perhaps the vendor, must be shared without fear to keep the partnership on the right track.

Once both parties embrace the common goals and objectives, the strategic partnership is solid. The benefits both tangible and intrinsic are enjoyed by both the customer and the vendor.

Is China Safe During This Time of Economic Unrest?

Friday, 19. July 2013

The United States is slowly coming out of our economic trouble but the U.S. led the way into the abyss for Europe and Asia. Both Europe and Asia have a long way to go to dig out of trouble and have a healthy economy.

China hides much of its troubles both economic and humanitarian from the rest of the world. Despite this fact economists in the U.S. know that China’s banking system and monetary flow is making it hard for factories to borrow money and stay afloat.

If your company has merchandise made in a Chinese factory now is the time to take a harder look at this factory. Ask to review their financials. Take a tour of the factory unannounced. Being a continent away from the product you are having made is a bit unsettling without the added issue of possible insolvency.

The world’s economic issues have not disappeared and will not any time soon. Protect your company from other country’s economic ills before it affects your company!

How can Global Sourcing Specialists help my company?

Friday, 15. March 2013

Having received several calls lately asking me how Global Sourcing helps a client company an explanation is in order.

First of all what Global Sourcing Specialists is not is a company that will buy your product/component and sell it back to you at an inflated price. Global Sourcing will assess your project, find good sources, price and quality compare the offerings of those companies and give you what you want at a cost savings. Global Sourcing charges a fee for this service. Once the service is delivered to your satisfaction the fee is concluded and the savings are completely yours.

Can you find companies that will buy what you want and resell it to them? Yes, of course. However as a former Purchasing Manager this upcharge (usually at least 30%) is totally unacceptable. Why even look for a cost savings if you are going to leave a large part of it on the table?!

The process starts with a conversation. The project is talked about in general to determine just what you are looking for. From this a proposal is designed.

The proposal is quoted in phases. The client company can agree to any or all phases of which each has its own price. This is also the time to correct any misconceptions or missing aspects of the project.

Next Global Sourcing signs a non-disclosure from the client and the client agrees to indemnify Global through the client corporate insurance for the duration and scope of the project. This indemnification should be free from the insurance company to the client company. Global receives a copy of the indemnification.

To start the project Global receives 1/3 of the contract price up front to get started. All samples and engineering renderings are given to Global.

Global then starts the vendor search for the client company. Global identifies credible vendors, supplies those vendors with the information needed to quote and answers any questions the vendors may have. The quantity to be purchased is also supplied to the vendor. The quotations are received and reviewed and refined by Global. Pricing and vendor information is then given to the client company. The second third of the Global Sourcing contract is due at this point to Global.

The last phase of the project is receiving a prototype and/or sample of the exact item the client company requires. If tooling is necessary to produce this sample the client company creates a purchase order for the tooling. Once the tooling order is in place Global will monitor the progress of the tooling production to make sure it is correct for the project and also that the tooling production stays on the timeline allotted. Once done the sample is sent to the client company for their approval. Once adjustments (if necessary) are made and an acceptable sample is received the client signs off on several samples and retains a portion of approved samples for their QA department and the balance is returned with approval to the vendor for their QA and production personnel.

Once the approval is gotten Global Sourcing is due the 1/3 balance of the fee it charged. The client company is free to place a purchase order for production.

Global Sourcing can supply information on International transportation and documentation in accordance with U.S. law for a small fee. Global Sourcing will also step in later to resolve any, if any, problems that come up during the first order. That service is included in the contract pricing at no extra cost.

Global sourcing means domestic sourcing too!

Monday, 7. January 2013

Although the name “Global Sourcing Specialists” may mean sourcing half way around the world, understand that the United States is on that globe! Yes, we source in the U.S. too!

Several assignments that Global Sourcing Specialists undertook lead us to new domestic sources for our clients. There are many reasons for this action one of which is that the client wished to source domestically. Other reasons can be that the quantity is small or that the item is so bulky but hollow that the ocean transportation may make the effort to move abroad a futile one. When tackling a project for a client some initial studies need to be conducted to determine the wants and the needs of the client.

Some industries can span the whole globe for component manufacturing or assembly. Other industries are so cost challenged that the cost constraints along dictate where one might manufacture and assemble.

It also cannot be emphasized enough that not every country has the manufacturing segment and/or the infrastructure to handle every type of commodity to be sourced. The sourcing individual needs to know the capabilities of companies within the particular country and infrastructure, transportation in and out of and governmental challenges of each country being considered for a project. This is no minor feat. Governmental rulings are changing daily in some countries.

For those clients interested in global sourcing including sourcing in the U.S. Global Sourcing Specialists has a unique, intelligent and swift approach to executing any project. Call us with any assignments you would like evaluated and quoted.

Donna Zoellick, Global Sourcing Specialists

Global Sourcing Specialists End of the Year 2012 Tip

Wednesday, 21. November 2012

All countries and companies have experienced the downturn in business. Slowly the U.S., European and Asian countries are turning their economic devastation around. 2013 should prove to be an interesting year.

We don’t always think of China and other Asian countries as anything but prosperous. The fact is they rely on the U.S. and Europe for their prosperity. When we hit a rough patch in the economies Asia feels our pain and develops their own pain.

We can see the light at the end of the tunnel, so to speak, where business increases and life on our planet gets back to what we are used to doing. Just as we as individuals peruse the stock market for the next company’s stock to take off and yield a profit for investors so must we look at how we are doing business. Now is the time to negotiate that contract with China. They will welcome negotiation more so than once they recover. Take advantage of being on the cusp of full recovery and use it to your company’s advantage.

If you have never purchased internationally now is the time to explore that option. Call an expert in to advise you with the task if you don’t employ anyone who is familiar with the pitfalls of international business. I would love to help you!

Donna Zoellick

Outsourcing, Friend or Foe?

Sunday, 23. September 2012

The debate is on and conversations heat up when people talk about outsourcing. Yes, many Americans have lost their jobs to outsourcing, off shoring or whatever you want to call it.  But is outsourcing/off shoring all bad? No, t isn’t, if we use it in moderation. Accept that there is give and take economically, and apply it to our advantage.

China’s economy has risen rapidly to supply our thirst for less costly goods. China has the ability to erect a factory at warp speed, man it with workers and tool up at two thirds the cost and half the time it takes in the U.S. If American companies use China to produce large volume simple components and produce the complex and/or proprietary components in the U.S., the American company has a better bottom line and still remains an American manufacturer.

Let us not forget the Asian population’s thirst for anything American. In their personal everyday lives Chinese workers admire our clothing, music, housing and cars. A trend among Chinese women includes having cosmetic surgery to the eyes to make their eyes shaped like American eyes.

American exports have been borne from this fascination with our Western Culture.

Let’s use our American ingenuity to learn how to balance our outsourcing/off shoring capabilities. This can be done to the advantage of America.

Outsourcing and Off Shoring controversy – A Global Sourcing outlook

Saturday, 30. June 2012

Our economy is in a mess! That is a given. There is much talk about jobs moving overseas and making Americans jobless. Did you ever stop to consider that we might not want ALL the jobs back?

I give speeches about global sourcing and the first question I get asked is, “Aren’t you at least a little ashamed that you are sending jobs out of the U.S.?” My answer is simple. I am not and I will tell you why.

In this nation we enjoy wages that are the envy of the rest of the world. The only country that has us beaten is Japan and they pay their auto workers more than we pay ours. Compare that to $0.95 an hour in China for example, or India and Mexico at $2.45-2.95 an hour. Remember the workers there can afford their personal overhead on these wages so the wages are not going to change significantly until their cost of living increases.

I always ask my audience or anyone I am speaking with about outsourcing if they shop at Walmart. The vast majority do. I ask them why and they talk about the deals they got and how cheaply they can buy whatever they what they need. Did it ever occur to anyone that we are our own worst enemy? We want high wages but low cost of goods. These are opposite goals. It is not going to happen.

The premise on which Global Sourcing Specialists works is that GSS will assess the needs of your company for outsourcing. Small to medium sized businesses are what we work with since they may not have a staff equipped to off shore source. The needs may consist of a component of good that is being made and causes a block in manufacturing since it takes much work center time. This is the plant bottleneck. Or perhaps there is a very routine item produced in large quantities. Or there is a large item with few pieces but is very time consuming to create. These are all reasons for outsourcing.

There is no rule that every component or item must go overseas or not. Why not take the simple items and off shore sourcing them and leave the proprietary or intricate items on U.S. soil? This is the sensible approach to off shore/outsourcing. The bottom line of the company is good but Americans are still working. THIS concept is using our heads!

So although there is a lot of discussion everywhere about outsourcing/off shoring we need to keep an open mind. Let’s use our American ingenuity and embrace the global economy.

Christmas, the 2011 Leading Economic Indicator

Friday, 6. January 2012

Christmas tried its best to lift our spirits. Hammered by the economic downturn, consumers tried to spend their money wisely but still bring joy and gifts to the ones they love. Retail establishments tried their best to offer the most incentives they have ever given.

In Chicago one of the highlights of Christmas is the Christkindle Market in Daley Plaza. The Plaza houses as many tents as possible with offerings from Germany and Poland. One of the featured products is the ever present glass ornament. The ornaments come in many shapes and decorative forms. They are beautiful and some are whimsical. People line up to march through the path laid out in the tents intended to make patrons pass by each and every ornament.

If one looked past the created Christmas spirit however, one saw that the tents seemed somehow smaller with less stock than they had in previous years. Following the path of the retailers, the vendors made sure they were not holding excess inventory once the holiday season was over.

The latest knowledge that Europe also has its economic troubles was apparent too as one shopped at the Market. The Market which once seemed to be chocked full of Christmas cheer was somehow diminished in size.

Another obscure but obvious to bakers this year was the lack of good cookie tins. To those who still slaved in their kitchens to bake up multiple batches of heavenly cookies the lack of tins was a concern. What was displayed, if displayed, was an array of tins that could hold two cookies if one were lucky. The one pound cookie tin was found with difficulty (thanks World Market and Target) for a rather expensive price. Most retailers either didn’t carry them this year or displayed a dismal stock of extremely small tins (shame on you, Michael’s!)

Why was this particular product represented so skimpily? The answer lies in the price of oil, not cooking oil but oil for transportation. Shipping from Asia where these tins are now solely produced for economic reasons (think 95 cents an hour in China versus our minimum wage) has gotten expensive as oil prices have been raised. A standard container of most products is dense with product or the products nest nicely. Not so with tins. They cannot nest and so one is virtually shipping air at a very expensive price. Then factor in the highest market price that a product like this can sell for which although this year the highest it has been is not high enough. Also factor in that the retailers who braved the market by offering the tins didn’t want excess inventory as of December 26th.

Yes, Christmas 2011 was a not so subtle economic indicator.

Global Sourcing Specialists

Global Sourcing Specialists. Experts in global strategic sourcing and new product development.

Thursday, 13. October 2011

Credentials include but not limited to:

  • 30 years of Purchasing Experience with various industries and commodities.
  • 15+ years of International Purchasing in Asia, Pakistan, North and South America and Western and Eastern Europe.
  • Expertise in re-engineering of products.
  • 15 years of Materials Management with APICS certification.
  • 15 years of New Product Development experience. Integral role in 300+ product introductions in Heavy Equipment and Capital Equipment, House Wares, and Office Supplies Industries and other Consumer Products.
  • One patent with Consultant’s name on it. Ability to take a product concept from “sketch on a napkin” to first article of production.
  • Expertise in plastic injection molding and extrusion and other plastic materials and processes.
  • Strategic sourcing consulting.
  • MRO consolidation consulting.
  • Training of purchasing departments in best practices.
  • Expertise in all metal forming processes and materials including but not exclusive to stamping, bending, deep draw, machining, sheet fabrication, casting and forging.
  • Expertise in stoneware and ceramics processes.
  • Expertise in other materials such as glass, textiles, silicone and many others.
  • Expertise in electronic and electrical sourcing.
  • Ability to interact with Engineering on technical issues and blueprints.
  • Ability to source tooling for the above processes.
  • Ability to establish quality procedures and troubleshoot production issues.
  • Well versed in U.S. Customs issues, duty, international freight, NAFTA, Green Dot, RoHS compliance, and harmonized codes.
  • Chemical background and familiarity with many chemicals and their interaction with various materials.
  • Packaging expertise in various materials.

The Scruffer® – A New Product Development

Wednesday, 12. October 2011

The Scruffer® A New Product Development

Scruffer®

The Scruffer® and Scruffer® balls pictured are featured on our New Product Development and Re-engineered product page. The process for development of this product line is outlined there.

The Scruffer® is an invention of One Source International. This unique grill cleaning tool is an international patented useful ‘green’ product. It features a long handle to keep hands away from the hot grill as it is cleaned. The bowl of the tool is where a ball of regular household foil is placed on the spikes in the bowl and further locked into place by inserting the pin in the side of the bowl and foil ball where it snap fits into the bowl.

The unique shape of the stainless steel scraper plate allows cleaning of any grill grate configuration.

When the grill is clean, pull out the pin and tap the Scruffer® ball into the recycle bin. Place the Scruffer® in the dishwasher to sanitize. The Scruffer® is now ready for its next use. Never use a dirty grill brush again! Your hands never have to touch the greasy dirt on the grill when you use the Scruffer®.

This product is a must for any grill enthusiast! The product is sold by One Source International.

Co-Operation and Partnerships for Global Strategic Sourcing and New Product Development

Monday, 10. October 2011

Global Sourcing Specialists is proud to announce a partnership with Kari Consulting Group, Inc.

Kari Consulting Group, Inc. is a kitchen product testing and design service. Kari Consulting is a group with many years of experience. For details on the services provided go to www.kariconsultinggroup.com.

Contact information for Kari Consulting Group, Inc is:
Kathy Kari, C.F.C.S.
Kari Consulting Group, Inc.
616 Redwood Lane
Lisle, IL 60532
630-241-4361 office
630-632-2879 cell
Email: tklady@aol.com

 

Global Sourcing Specialists has continued co-operation with One Source Supply on sourcing industrial items and One Source International on the development of a unique utility patent pending grill cleaning tool called the Scruffer®.

 

The commercial photographs of product were taken by K. Speer. Interested parties wanting to contact Ms. Speer can call Global Sourcing Specialists at 847-844-4808 or email Donna Zoellick at GSS, donna@globalspecialists.biz .