Case study:

China Supply Chain Review

Household Goods Supplier


Background & Brief

This client is a leading supplier of a specific type of electrical product, predominantly to the UK market with almost the entire product range manufactured in China. SCALA were engaged to review the supply chain from China and advise changes in structure, process and systems

Project Approach

  • The project approach combined reviews of;
  • UK and China office responsibilities
  • China office capabilities
  • Communications UK/ China office/suppliers
  • Supplier capability, performance and relationships with suppliers
  • China warehousing and consolidation requirements
  • Supplier delivery performance
  • KPIs
  • In-house QA and QC effectiveness

Benefits & Results

  • The benefits and results of the project included the following key outputs;
  • Significant increase in responsibilities for China office plus recruitment of new roles
  • Reduction of vendor base with development of strategic partnerships with suppliers
  • Introduction of weekly reports to drive on-time delivery
  • Introduction of supplier performance measurement
  • Strengthening of QA department and tightening of QC
  • Improved communications
  • Introduction of KPIs
  • Introduction of cost-down mentality and methodology

 

Final Outcome

All recommendations have been accepted by the client. SCALA are available to support implementation if required.