Sourcing in China - procurAsia Profile

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    All rights reserved Copyright 2005-2008 PROCURASIA LIMITED 1

    procurAsia ProfileprocurAsia ProfileIndustrial Sourcing from China

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    procurAsias mission is to help clients develop and successfullyimplement procurement and outsourcing strategies leading tosustainable margin increase and better operational flexibility.

    We focus on assisting strong Western large and mid-sizecompanies active in the industrial equipment, renewableenergy and high tech segments.

    We aim at developing long term business relationship betweenbuyers and suppliers.

    We are committed to service and process quality

    procurAsia operations based in Shanghai

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    Other ServicesSourcing Assistance

    Supplier Management

    Services OverviewServices Overview

    AssistanceServices

    AssistanceServices

    Supplier Identification& Short Listing

    Supplier Identification& Short Listing

    On-SitePre-Qualification

    On-SitePre-Qualification

    Price Benchmarking

    or RFQ Management

    Price Benchmarking

    or RFQ Management

    Quality Management

    Quality Management

    Operational Follow-up

    Operational Follow-up

    Supplier

    Development

    Supplier

    Development

    Strategic Consulting

    Strategic Consulting

    Hosting

    Hosting

    Reduce Purchasing Cost

    Reduce Purchasing Cost Ensure Quality and Service Level

    Ensure Quality and Service Level

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    Large and Customized PowerSupplies

    Power Distribution Transformers

    Industrial Connectors andConnectivity

    Current Distribution andProtection: relays, circuit breakers,

    cabling and cable harnesses Power Transmission: Chains,

    rollers, bearings, belts, pulleys,gears.

    Metal forming: large or precision

    Competences: Industrial & CleantechCompetences: Industrial & Cleantech

    Machinery systems, sub-assemblies andparts: Material Handling and Warehousing(conveyors, racking, shelving, cranes),Access Control, Water Treatment plants...

    Control and Power Distribution Cabinet

    Renewable Energy/Energy Efficiency:thermal solar systems, wind generator

    systems, photovoltaic systems, LEDLighting

    Water Treatment Systems: waste watertreatment, MBR, purification, , RO, UF.

    Power Generation/ Emergency Power:Diesel Power Generators, UPS/EPS/APS

    Building equipment: ventilation, lighting,pumps

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    Electronic Components

    LEDs and LED Displays

    Transformers, filters

    Magnets, electromagnets

    Connectors &connectivity forelectronics

    LCD modules for variousapplications

    Cabinets, enclosures &casingsfor electronics

    Competences: High TechnologyCompetences: High Technology

    Visualization/Digital Signage:LED displays, LED Advertisementsigns, LCD Monitors and LCDServers

    Electronic Sub-systems, suchas power supply, telecom andnetworking systems

    Electronic Assembly (PBA)Outsourcing

    Cabling and Cable Harnesses

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    Challenge to remotely evaluate

    real capabilities (1)

    Challenge to remotely evaluate

    real capabilities (1)

    =

    At least one of the two suppliers is lying

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    Challenge to remotely evaluate

    real capabilities (2)

    Challenge to remotely evaluate

    real capabilities (2)What looks great on the web . . . . . . turns out to be a dirty workshop

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    Challenge to remotely assess level of

    process quality

    Challenge to remotely assess level of

    process quality

    All of these companies have ISO certification

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    7 Steps to Effective Sourcing7 Steps to Effective SourcingPrepare: Product selection, team, target setting, executive commitment.

    Identify: Large number of leads, phone contact, selective short listing.

    Qualify: On site qualification, samples, final short list of 2 or 3 at least.

    Get Pricing: Adapt RFQ for Chinese supplier, pro-active follow-up.

    First Order: First order requires significant time investment.

    Inspect: Systematic QC for product, operational follow-up included.

    Develop: More products, wider scope, process improvement.

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    Sourcing AssistanceSourcing Assistance

    30

    10

    150

    Rejected

    120

    20

    Initial list Pre-qualified list Short-list

    Rejected

    Short-listed

    Size

    Quality

    certification

    Engineering

    capabilities

    References

    SupplierTechnical

    Questionnaire(by phone)

    Business

    AssociationsE.g. Federation of

    Logistisc enterprise

    procurAsiadata-base

    Specializedpress

    Site visitSpecificsearch

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    Supplier ManagementSupplier Management Audit of quality system and its implementation in the

    factory Audit of the products and its manufacturing

    processes Various inspections including pre-shipment

    inspections, container stuffing, documentation review.

    Review production and logistics plan.

    Monitor plans execution Trigger early warning and corrective actions Organize troubleshooting meetings to solve technical

    and operational problems

    Support and guide a supplier in its improvement of: Quality system and its implementation Product and manufacturing process Documentation

    Quality ManagementQuality Management

    Operational Follow-upOperational Follow-up

    SupplierDevelopment

    SupplierDevelopment

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    Supplier Management Reports & ToolsSupplier Management Reports & Tools

    Pre-shipment InspectionCertificate

    Inspection Report Product Audit

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    Other ServicesOther Services Preparation Phase Advising: products, project

    planning and targeting.

    Advising for organizational aspects: change

    management. Systematic cost improvement program

    assistance: continued cost improvement program(12 to 24 months) for a family of products.

    Professional hosting for clients own purchasingresources without setting up legal entity.

    Strategic ConsultingStrategic Consulting

    HostingHosting

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    www.procurasia.com

    Industrial Sourcing Partner

    Contact Us:[email protected]

    +86-21-6875-4993

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    Thank YouThank You

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    BioBioEtienne Charlier had already more than 10-year management experience in China when he createdprocurAsia. He built his experience while working in several executive positions for Alcatel, a largeinternational group providing telecommunication solutions.

    During those years, Etienne has been instrumental in the development of the broadband business in Chinafrom its birth to becoming the biggest single market in the world. In his last position of vice president andgeneral manager, he led the launch of production of ADSL in China and its ramp up to a volume of 10 millionlines per year. He also created a new R&D center that developed several new products for the worldwidemarket.

    While working for Alcatel, he realized that many companies could greatly benefits from using the vast pool ofavailable resources in China. He created procurAsia, a service and consulting company, in order to assist

    Western companies source high tech products and industrial equipment from China. Today, procurAsia is adynamic and growing company with clients in Benelux, France, Ireland, Italy, Scandinavia, Switzerland, UK,,Middle East South Africa and US.

    Etienne Charlier is also member of the Board of Director of the Benelux Chamber of Commerce in China, anon-profit organization aiming at supporting enterprises from the Benelux based in China.

    He graduated from MIT Sloan School of Management (MBA) and Universit Catholique de Louvain (electrical

    engineer ingnieur civil lectricien).

    He lives in Shanghai with his family.

    www.procurasia.com