Sourcing
Once the customers’ expectations and sourcing inquiry are identified, GSS begins the very important sourcing role to “Identify the best vendor and items abroad”. GSS conducts industrial research among potential countries to understand their core competence and analysis the SWOT. This process is to ensure we identify the best country and industry to work with before quotations are solidified. After solidifying the best sourcing countries in target categories, GSS continues to find the most qualified vendor in the industry. The factory’s ability or capability toward the specific categories will be evaluated during the qualification process. As part of the process, GSS will communicate high-level business flow and terms & conditions to request a quote. For those potential factories with best price quote, GSS will conduct due diligent visit to understand the factory condition for :
* adequate production facility and equipment for production
* appropriate quality certificate and systems in place
* business concept toward management and good understanding about customers’ needs
* any potential business risk and / or future extension
Furthering, GSS will hold a meeting to introduce the company and present business policy including GSS culture, business principles and integrity issues. With the mutual understanding, GSS and supplier sign the Non-disclosure agreement/Supplier Agreement for compliance and have product liability insurance to cover the product purchased.
While GSS logistic and quality teams will verify import duty rates, HTS codes and product importation criteria, GSS merchandisers communicate with buyers for business award and play the same vital role in Purchase Order management and coordination including:
* Detail of ground works with sourced vendors to insure samples are finalized and approved by the buyers.
* Working with supplier and QA team to set up testing protocol and product specification.
* Make sure factory’s products are produced according to specification
QA team conduct product testing and inspection.
* Logistic team ensure container booking and shipments are completed and according to agreed timelines. At the same time, Also ensure all shipping document is accurate and ISF meet Custom requirement.
* Provide supply chain visibility for buyers and trouble-shooting all issues until the cargo received at buyer destination.
* Dispose the shortage/claim and all relevant after sales services.
Cost Saving
GSS understands when it’s the best time to drive cost savings for Customers. Below are a couple of examples to demonstrate that fact:
* GSS shares industrial intelligence to the Customer and locks in best “time to buy” schedule
* GSS monitors escalating and de-escalating pricing mechanism with the factory to generate savings
* GSS always captures the best time to negotiate with the supplier when business award but before close the deal
* Any purchase power can be leveraged, for example, when competitors emerge. We share the information to both factory and Customers and then begin actively to negotiate the best price to create additional cost savings.
* GSS re-evaluates the price when raw material cost; US dollar exchange rate; and any pricing factors are fluctuated.
Product Development
GSS has abundant product knowledge and hands-on experience for product development from concept to product delivery. We work with consumers, store personnel and buyer(s) to identify the requirements and goals to achieve. Finally summarizing those ideas and development concept brought to the designer, tooling house and factory for development.
Below is an excellent example that how GSS achieved buyer expectation and goals through product development. GSS observed that Safeway had carried many assorted food hinge containers which were supplied by different vendors. From the interview of consumer and store personnel, GSS learned the hinge container did not seal completely along the side of the container which created some food safety issues. The locking system was sometimes loose. When the consumer picked up the container with one hand, Food was dropped from the container to floor. After GSS’s improvement and a couple of rounds of innovation discussions on product design, GSS narrowed down the items below, achieving the following solutions:
* Provide 25% to 50% more rigidity; and 15% less material
* Provide a better and wider show case presentation with consistent family design cross all container product range
* Higher shelf efficiency and better merchandising on the shelf by using square design
* Smaller fringe space and nesting gap provide more than 17% saving on logistic transportation and warehousing fees
* Universal lid design for store staffs friendly use
Furthering, we continue working with the factory for package design in considering how the factory worker packs the products easily without human contamination and ease in de-nesting for store personnel. At the same time, we set-up specification and product standards, inspection portals and functional test protocols for production. Following these procedures, GSS successfully receives the business award and delivers products to the stores on time.
QUALITY ASSURANCE SYSTEM
GSS understand quality is the soul of products. GSS implement sourcing quality assure system which includes
QA policy
Protocol & testing method
SOP and procedure
Supplier training and supplier qualification portal
Pre-production meeting with vendor
Product specification establishment and alignment
Pre-production sample approval
Factory audit
3rd party Testing- pre-production/during production
Inspection- during/final pre-shipment inspection
Correction action plan
Claim and recall policy
Claim filing and analysis
Score card system for continual quality improvement
Annual review with strategic supplier to set the goal from QA perspective
