Last Updated on February 28, 2022 by Jonathan Lopez
In an increasingly competitive world, choosing the right global sourcing company to handle your products and services can be difficult. Before you sign on the dotted line, however, it’s important to check that the company you are considering has the following traits:
(1) commitment to their clients;
(2) knowledge of their clients’ industries;
(3) English language fluency;
(4) cultural awareness and respect; and
(5) organizational transparency.
These 7 tips will help you hire an outstanding global sourcing company and bring your product or service to more customers around the world.
1) Finding the best global sourcing company
The most important factor to consider when hiring a global sourcing company is your ability to communicate effectively with your procurement consulting firms. You are going to be communicating at least once per month and ideally more, so make sure you can communicate with your global sourcing team easily in an online program such as Skype. This will ensure that you stay on track with deadlines and can get answers if issues arise. For example, you might want to ask about how quickly they can answer questions during different times of day and whether or not they offer after-hours assistance from their office staff. Another key factor is experience. Do they have all of the certifications needed? Have they been in business for more than five years? Have all of their projects had similar deliverables? Is their portfolio broad enough in scope?
2) Ask For References
Working with an international supplier can sometimes mean accepting some of those risks that come along with dealing across countries, such as delivery delays or poor quality. But there are steps you can take to mitigate these risks, and one of them is simply asking for references from past clients. Any reputable China sourcing company should be able to provide you with names and contact information for at least three different organizations that’ve done business with in your industry before. And if they can’t do that – or only give you one name? That should tell you something right there.
3) Background Check Them
The first step in hiring an outsourcing company is to perform a thorough background check on all of their employees. This can be especially important if you’re not located close to your outsourcer’s headquarters. The fewer direct interactions you have with employees from their home office. The more important it is that they are who they say they are and that they are competent. One way to verify identities and credentials is by collecting passport copies or scanning/storing copies of IDs and diplomas into an encrypted digital repository. If you have staff in-country, make sure they handle verifying employee credentials. Because some countries require foreigners to work through local channels. When hiring talent; in those cases, people familiar with those procedures. Will be better able to expedite them than someone off-site.
4) Determine Their Expertise and Experience
When it comes to global sourcing, it’s important to make sure you’re working with someone who knows what they’re doing. Most of your research should be on their expertise and experience with handling global sourcing projects. Make sure you ask about their past projects and client list before working with them. The more experience they have in sourcing products from around the world will help to ensure that your project will go smoothly and that you’ll receive high-quality products at a great price. Choose carefully because once you start working with them, they’ll work closely with vendors overseas—you don’t want to run into issues down the road if they aren’t properly qualified.
5) Consider The Services They Provide
Before hiring a sourcing company, it is essential to take a look at what they do and ensure you’re on board with their services. For example, if they offer design services, you may need to hire another company to handle that work. Likewise, if they specialize in electronics, it is recommended you hire another supplier if you plan on focusing on apparel or food products. Researching their capabilities will help make sure both parties have access to exactly what they need during all stages of your relationship with them.
6) Understand Their Pricing Structure
A reputable sourcing company will have clear pricing with no hidden fees. With some companies, you’ll even receive an itemized bill that shows exactly how much you’re paying for each service they provide. If a company doesn’t offer clearly-defined pricing upfront, find another. You want to know ahead of time what you’re going to pay and when.
7) Can You Partner With Them?
Sourcing companies have unique processes and solutions to meet your needs. And partnering with them is probably going to be one of your best ways to optimize those outcomes. If you partner with a sourcing company that focuses on just one part of your product development or supply chain. You’ll get all their expertise in that area, but you’ll miss out on other potential solutions they could offer. If you partner with a firm that specializes in all aspects of sourcing—including design. Development, and distribution—you can increase your chances of streamlining operations. When you choose an integrative supplier from the start, it makes it easier to define. What success looks like for both parties—and gives them more opportunities to deliver top-notch work.