Businesses that work with global sourcing companies need to make sure that they’re working with the right one. Otherwise, you could end up working with a company that doesn’t know much about the product you’re trying to source or one that won’t be around when you need it most.
Here are some common mistakes businesses make when choosing their global sourcing companies and what you can do to avoid them.
Poorly explained requirements
The first mistake businesses make is not clearly defining their requirements.
What are you looking for in a China sourcing company? Do you need one that can provide manufacturing, design, or just the logistics?
Don’t assume these things will be clear to the China sourcing company– they want to know what it is your company needs so they can either offer it or refer you to someone who can.
The second mistake businesses make when working with global sourcing companies is not having a solid idea of their timeline.
This is especially important if you are working on a project with deadlines.
Give yourself plenty of time and be realistic about what you need from the China sourcing company- don’t expect them to work miracles if your project requires something impossible for them to do.
Lack of communication
Communication is key when working with a global sourcing company. The lack of communication is often the biggest mistake businesses make when working with a company because there are so many things that need to be discussed and planned in order to get the most out of your work.
It’s important to understand what you want and what they offer before getting started. Many people make the mistake of not asking questions or not communicating their needs, which makes it difficult for companies to provide those services later on.
Making sure that both parties know each other’s expectations will help avoid any communication issues down the line.
For example, some companies don’t like being contacted after hours while others do, so be sure you’re aware of these differences before contacting them outside of normal business hours.
No idea how to validate suppliers
Many businesses get frustrated when they can’t find what they’re looking for on Alibaba or Lazada. They often want to go to China, which is a good idea if you know who to talk to and how to vet suppliers in China.
However, some want the sourcing company they work with on a daily basis to find all of their suppliers, since it can seem like a huge task and there are many pitfalls along the way. These errors are costly for both parties and most of them are preventable.
Ignoring cultural differences
Many businesses make the mistake of thinking that all people are alike, which is not true. Cultural differences can affect how you communicate and how you should be interacting with your supplier.
For instance, in some cultures, it’s considered to be rude to avoid eye contact while speaking. This can make things difficult when trying to communicate effectively.
Insufficient time allocation for the project
Many businesses find that they cannot allocate the necessary time to the project from their existing operations.
Lack of resources is a common problem, but one can also be too busy on other projects to give this one the time it deserves.
Some may not have employees who are fully committed to the project, and others may not have the technical skills required for success.
This is why many companies hire outside help in order to ensure that they’re able to complete a successful project and deliver on time.
Unclear expectations
The first mistake businesses make is unclear expectations. This is a common problem for clients who come to us for the first time because they haven’t had enough experience with sourcing companies in the past.
It’s important to set clear expectations about what you want and what you will accept as a final product, so both parties know where they stand from the beginning.
Final thought
Overall, there are many benefits to using a global sourcing company. The most important thing is that you do your research and find the best one for you.
You want to make sure you’re communicating effectively and being realistic about your expectations. The most common mistakes people make when working with a global sourcing company are being inflexible, unrealistic, and not open to feedback.