China Sourcing & Benchmarking for Leading European Industry Tool and Equipment Company

The client, a Finnish company, operates in a wide range of different business areas, including consumer goods, leisure goods, manufacturing, and agricultural trading. Because of the COVID-19 pandemic, the client decided to start selling medical protection products, such as face masks and nitrile gloves. The client was sourcing those products from local distributors in Finland. Due to a great demand for protective products, the client started looking for options to manage the sourcing from the manufacturer directly.

As a result, the client turned to Asia Perspective to help them perform a category benchmark project, to evaluate the main nitrile gloves suppliers in the market. At the same time, the client provided detailed product specifications for the new suppliers, in addition to compliance requirements set forth by Amfori (BSCI report).

Doctor putting on nitrile gloves

The Asia Perspective Shanghai team was involved in many medical protection products sourcing projects in 2020 and helped Nordic customers find quality suppliers in China. Thus, Asia Perspective has a solid experience and knowledge of sourcing these kinds of products in China.

Additionally, the team has amassed a good knowledge of different medical protection products. For example, how to transfer European standards to Chinese standards, assuring that the supplier provides the right package for products, and different technical requests from customer.

In addition to the above, Asia Perspective has collaborated with the inspection company SGS for a long time, making sure that the sourced products a sufficiently high-quality standard.

The project was a traditional benchmarking sourcing project. Asia Perspective Shanghai team used the standard sourcing project methodology to finish this project.

  1. Customer request collection.
  2. Developing supplier master list.
  3. Conduct to supplier short list.
  4. Final recommendation.

For this project, the Asia Perspective Shanghai team receive all the detailed glove specification lists from the client at an initial stage, as well as the yearly demand and certificate request of gloves.

The team developed a large master list that included hundreds of potential suppliers. The master list sources mainly came from the internal database, Chinese gloves institute name list, medical protective supplier exhibition name list, and the Chinese medical public list company name list.

After the database research, the master list was made into a short list, including the 25 top qualified suppliers. Asia Perspective’s consultants then called all the 25 potential suppliers and screened them by the below criteria:

  • Direct manufacturer, without any 3rd
  • Available capacity meets with the customer’s yearly demand.
  • Match with the product technical request.
  • Good communication and right motivation.

After the call with the 25 potential suppliers, 6 suppliers were chosen for the final recommendation list that was sent to the client. The suppliers’ quotations, product information, and information about the organizations were presented to the client for review.

The project involved the screening of hundreds of potential nitrile gloves suppliers in China and showed related nitrile gloves industry clusters. The client was satisfied with the benchmark results. At the end, six suppliers were recommended to the client as final options, divided into three different levels: small, medium, and large sized.

The client decided to proceed with the medium- and large-sized suppliers for price benchmarking and compared with the prices received from local distributors. The project greatly helped the client get a good insight of the nitrile gloves supplier market in China.

    Marcus Sohlberg, Business Development Director

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    Marcus Sohlberg, Business Development Director


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