China Sourcing - Lessons Learned Survey Data

Here's more information from the Deloitte survey presented at the last MITA meeting. Survey respondents reported six key lessons learned from their Chinese sourcing efforts:

- Make sourcing decisions not just on the basis of cost
- View China sourcing as a tool for ultimately gaining access to the Chinese market
- Be flexible and maintain some diversity of sourcing
- Establish stringent cost, quality and timing metrics prior to implementation of a sourcing decision
- Conduct detailed due diligence during the supplier selection process
- Take steps to watch contracts, delivery, and payments carefully so as to minimize misunderstandings

These are excellent lessons. I'm surprised there is nothing on relationships or contingency planning, although the flexibility lesson likely refers to having multiple options.