When sourcing a finished product, consider sourcing at the component level. In a case study, a large propane distributor was purchasing propane cylinders fitted with overfill prevention valves from one supplier. A sourcing strategy was developed to 먹튀 source the cylinder and valve as separate items with separate groups of suppliers. As a result of sourcing at the component level, the customer was able to realize significantly higher cost savings than if they sourced the finished product. This case study also shows an example of how creative solutions can increase bottom line savings.
Determine whether a single source or multiple sources is most practical for the product being sourced. While a single source may provide the best cost savings option due to economies of scale, it also limits the customer’s ability to rely on other sources of supply as a contingency plan. Is it best for your company to have a sole, competitive source of product? Or would you be better served by forging agreements with multiple suppliers?
Be careful that internal biases do not arise again, such as fear of an internal team member that the new purchasing pattern may develop additional work load for them, or that the logistics and material handling may become too cumbersome. At this stage of the process, the critical objective of the sourcing strategy should be to consider all the opportunities and attempt to identify the value in each one, not to disqualify ideas and opportunities.
Solicit and Evaluate Bids
After identifying the sourcing strategy, it is time to conduct the RFX (RFI, RFP, RFQ, etc.) process. The RFX document should be supplier-friendly. One of the most common complaints of suppliers is that complex static Request for Proposals do not allow them to talk about the benefits, ideas, opportunities, and competitive advantage that they offer, and only allow them to submit a financial response. A straightforward and uncomplicated document will encourage suppliers to participate and allow them to present their most competitive offer. Keep the RFX open-ended. This gives suppliers the freedom to present more creative solutions and introduce more fresh ideas into the process.