1 October 2012
Spire lends its expertise to the Vietnam Supply Chain Congress 2012
“Vietnam Supply Chain Congress 2012” was a platform for supply chain industry marketers and retailers to network, share insights and discuss best practices in the sourcing, manufacturing, distribution and retail disciplines. Spire was honored to be invited to speak on ‘A Successful Partnership Journey in Sourcing and Outsourcing’ at the event.
Jeffery Bahar, Deputy CEO of Spire Research and Consulting, was one of the invited speakers at “Vietnam Supply Chain Congress 2012”. At the event, he presented his views on how to locate the right partners and alliances in Emerging Markets, and shared the factors that would make sourcing and outsourcing a success.
Bahar highlighted that relying on a systematic and holistic approach would go a long way in forging successful, durable partnerships. He added that the trial-and-error approach for outsourcing is passé. Supply chain efforts need to be systematized, well thought-through and well-led.
Bahar elaborated on what a systematic process for developing strategic alliances in sourcing should look like. According to him, a sound strategy encompassed a 4-stage approach that included sourcing needs analysis, strategic sourcing development, partner selection and supplier quality management.
He further commented that the sourcing journey had two goals i.e. ‘To Source’ and ‘To Make’, which in turn determined the strategy for sourcing. He shared that while business partner selection is of paramount importance for companies looking at outsourcing, a holistic and well-rounded approach would be more ideal for companies which make their own products.
In conclusion, Bahar reiterated that the success of the sourcing journey was based on five foundations; namely, pre-defined quality of the offering, alignment of goals with strategic partners, time to enter the market, clear communication of goals and expectations and the selection of the right key partners while managing cultural differences. He emphasized that first mover advantage would play a critical role in the sourcing success story.
Bahar further cited Vietnam as a key destination for sourcing design. The country had seen tremendous growth in the last fourteen years. Exports increased by thirty three per cent, while imports rose by twenty five per cent in 2011.
Manufacturing and equipment, food retail, healthcare, agri-food, food processing and IT software were highlighted as the key and up-and-coming export industries in Vietnam.
Jeffrey Bahar’s presentation deck on “A Successful Partnership Journey in Sourcing and Outsourcing” can be found here.
Spire Research and Consulting is the leading research consultancy in global emerging markets. Spire's competitive advantage lies in its ability to deliver actionable intelligence on the external business environment in support of its clients’ strategic decision-making in marketing and business development. Spire's clients include 50 Global Fortune 1000 companies and government agencies in 15 countries. For more information, please visit www.spireresearch.com.