South Florida Business Daily

How to well manage Chinese supplier? What's the key?

To purchase from China, but how to do well at supplier management?

Public Comments

1. You must know your business well, You must have understanding of the language & culture also....!!
2. In a typical company, 60% of reveue flows through your supply base, and 75% of your quality problems come from them also. Dealing with a supplier half way around the world, and one that isn't english speaking just compunds the problems. Never trust that supplier. You will have to do rigerous incoming inspections, and be sure you have enough inventory on hand to cover late shipments, rejected product and shortages. You need to request some information from them. Are they ISO approved? Do they have a control plan and flow chart showing detailed production plans? Do these plans include rework procedures and procedures for notifying you of quality problems and late shipments? Also, if these products are subject to regulatory or potential health risks, you will have to do you own lab testing for led in paint and airplane fuel in baby formula for instance. Demand a phone conference with the Quality Manager (If they have one). I have not had good luck dealing with Chinese suppliers, nor have I had good luck with their products. If you are buying metal products, then you have to know what type of steel mills they use. For instance, if they are 'mini mills' they will use lots of remelt which contains impurities, which cause inclusions in certain processes, (stamped parts). These can cause critical stresses in some parts, causing them to fail. I've experineced that wiht brake parts from China. Be diligent and assume the worst. You won't be diappointed.
3. Its easy to find the suppliers and manufacturers from B2B websites. I suggest you http://www.hellotrade.com search for the product and you will get the list of suppliers with complete contact details. You can even contact the suppliers directly for this website for free.