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China Procurement Seminar (October 2017)

Introduction

China’s increasing role and influence in the export markets makes it an essential factor in global supply chains. As China procurement becomes the focus of large and small & medium size enterprises seeking to cut costs, made-in-China products are aggressively replacing manufactured goods from developed countries.

 

In the future, China is only expected to improve its position in the global market as it upgrades its manufacturing export structure in favour of more technology-intensive products and aligns itself with internationally-accepted quality standards. While there are clear advantages to adding China into the supply chain, its inherent complexity needs to be carefully considered and addressed to mitigate risk and maximise gain. Companies and entrepreneurs not thinking about how to leverage China manufacturing and export competitiveness as a key factor in their supply chains will be left behind.

 

In this Seminar, we will introduce the subject of supply chain management and procurement in China, and will emphasize the practicalities of how to buy goods from China in order to achieve the best possible price, quality and delivery times.

 

As a key outcome of this course, you are expected to develop your own strategy (eg. why buy, what to buy, where to buy it, how to buy it etc.) for whatever product you decide to buy from China and start working with your selected suppliers in China. The Seminar will give you the necessary knowledge, resources and toolkits to start buying from China in an efficient and effective way and moreover extract value from your upcoming visit to the Canton Fair.

 

We will try to answer two fundamental questions:

In the process of answering the second question (“How to Successfully Buy from China”) we will follow a comprehensive 8 Steps China Procurement Process, which will include practical examples, toolkits, links and document templates to help you manage your supply chain all the way from China to your home market:

Learning Objetives

This course aims to achieve the following results:

 

  •  Learn the key principles of supply chain management and procurement  in China.
  •  Understand the typical coordination problems of traditional supply chains in China.
  •  Identify China sourcing opportunities and profitable products to sell online.
  •  Identify, evaluate and select the right Chinese suppliers for your selected product.
  •  Verify that your Chinese supplier is not a scam and how to avoid intermediaries.
  •  Conduct factory audits and make sure the selected Chinese supplier is reliable.
  •  Invite a Chinese suppliers to tender and how to best analyze their prices and quotations.
  •  Negotiate the best value and contract with Chinese suppliers.
  •  How to best manage and ensure product quality.
  •  Manage Chinese suppliers so to achieve the agreed price, quality and delivery times.
  •  How to build successful relationships with Chinese suppliers.
  •  Learn how to extract most of the value from your upcoming visit to the Canton Fair.

 

Our objective is to offer a scenic China procurement journey that equips you with useful knowledge and tools for your careers or ventures. You can expect very interactive sessions where questions are asked and real cases are discussed.

Where and When?

The China Procurement Seminar is divided in 2 parts.

 

The first part of the seminar takes place in Tianjin/Beijing (from 15th to 22nd Oct. 2017) and focuses on Why, What and How source from China.

 

At the second part (optional) participants will have the opportunity to visit Canton Fair (China Import and Export Fair) the largest trade fair with the largest scale, the most complete exhibit variety, the broadest distribution of overseas buyers and the greatest business turnover held in Guangzhou(Canton) . Over 20,000 venders, about 100,000 buyers will attend the fair.

 

Canton Fair Extension could be from Sunday, October 22nd. to Thursday 26th. (Phase 1) or from Monday, October 30th. to Friday, November 3rd. (Phase 2)

Tianjin / Beijing
The ESEUNE Tianjin Business School campus is located at Yujiapu Free Trade Zone in Tianjin (55 minutes by train from Beijing city center).  Tianjin is the fourth largest city in China, after Shanghai, Beijing, and Guangzhou. The city of Tianjin recorded China’s highest per-capita GDP, followed by Shanghai and Beijing. Since the mid-19th century, Tianjin has been a major seaport and gateway to the nation’s capital. Tianjin’s port is the world’s top-level and China’s largest artificial deep water harbor, and the throughput capacity ranks the fifth place in the world. Tianjin harbor is the port of call to international cruises visiting Beijing. More than 300 ‘Fortune 500’ companies have set up base in Tianjin, which is a new growth pole in China and is a hub of advanced industry and financial activity.

ONE WEEK SEMINAR

Sunday 15th. October

Meeting-point at Beijing. High-Speed train (55 minutes) to Yujiapu Free Trade zone (Tianjin) where is located ESEUNE Business School.

Monday 16th. October

Day 1 at ESEUNE (Yujiapu).

Tuesday 17th. October

Day 2 at ESEUNE (Yujiapu).

Wednesday 18th. October

Day 3 at ESEUNE (Yujiapu).

Thursday 19th. October

Day 4  at ESEUNE (Yujiapu).

Friday 20th. Saturday 21st. October

Open for tourism in Beijing.

OPTIONAL EXTENSION CANTON FAIR

Sunday 22nd. October.

Travel to Guangzhou.

Monday 23rd. Tuesday 24rd. Wednesday 25th. Thursday 26th.  October. 

The Canton Fair Phase II  focuses on consumer goods, gifts, toys and home decorations.

Tuesday 31st. October. Wednesday 1st. Thursday 2nd. Friday 3rd.  November. 

The Canton Fair Phase III focuses in textiles, shoes, office supplies, cases, bags, recreation productos, medicines, medical instruments, health products and food.

Guangzhou / Canton Fair
Guangzhou (Canton) is the capital and most populous city of the province of Guangdong in southern China. Located on the Pearl River about 120 km north-northwest of Hong Kong . Guangzhou is currently, the third most-populous city in mainland China. In modern commerce, Guangzhou is best known for its annual Canton Fair, the oldest and largest trade fair in China. For the three consecutive years 2013–2015, Forbes ranked Guangzhou as the best commercial city on the Chinese mainland.

Program

  1. Day 1: Principles of Supply Chain Management 
    1. Definition of supply chain management and key concepts
    2. Distribution game session
    3. Debriefing
    4. The importance of information sharing
    5. eCollaboration
  2. Day 2: China Procurement Process (Steps 1 – 2) 
    1. Introduction to procurement and China procurement
    2. Finding the right product to source from China
    3. Assessing product sourcing feasibility
    4. Defining business needs
    5. Analyzing supply markets
    6. Case studies
  3. Day 3: China Procurement Process (Steps 3 – 5) 
    1. a. Supplier identification
    2. b. Supplier evaluation and verification
    3. c. Invitation to Tender and Request for Quotation (RFQ)
    4. d. Typical frauds and scams when buying from China and how to avoid them
    5. e. How to extract real value from the Canton Fair
  4. Day 4: China Procurement Process (Steps 6 – 8) 
    1. Negotiating best value with Chinese suppliers
    2. Contracting with Chinese suppliers
    3. Managing Chinese suppliers – performance, relationship, risks
    4. Managing product quality
    5. Case studies
    6. Closing remarks

Fees: 1.450 euros

Include Seminar fees, academic materials, certification and accommodation (hotel shared room) seven nights from October 15th. to October 22nd.

 

Fees do not include: flights to China, meals, transportation, sightseeing tickets and optional extension to Canton Fair (flights, accommodation, fair tickets)

Professor Javier Cuñat

Javier is an accomplished executive and experienced business manager with +12 years of China/Asia professional experience and proven track record in leading and managing global sourcing, procurement and strategy consulting projects. He has helped numerous MNCs to realise cost savings and increase revenue by successfully implementing China/Asia procurement and market entry strategies.

 

His project experience and expertise include: global and best cost country sourcing, cost reduction programs, strategic sourcing, category management, spend analysis, Asia/China supply base analysis, supplier appraisal, supplier audits, commercial negotiations, risk management, Asia/China IPO set up, evaluation of procurement organisations, procurement process improvement and capability enhancement.

 

Javier’s background in economics underlines his passion for research and emerging markets. He has co-authored two business books in the fields of strategy and entrepreneurship (‘Latin America in China’ – LID Editorial 2014, ‘Incorporating China into the Global Mining Supply Chain’ – LAP Publishing 2016) and has been awarded with the ‘Outstanding Thesis Award 2014’ (Tsinghua-INSEAD EMBA) as well as the 2011 ‘Emerald/CLADEA Latin American Management Research Fund Award’. He frequently writes business-related articles which have been published in numerous China business publications such as The China Analyst, Mineweb, Casa Asia, INSEAD Knowledge, Iberglobal, etc.

 

He is an experienced and much sought-after speaker in procurement and supply chain-related forums such as Procurement Success Summit, SourcingShift Conference or CHaINA Live among others.

 

Javier has worked and studied in Belgium (K.U. Leuven), France and Spain. He holds a BA degree in Administration and Business Management as well as a BA degree in Economics from the University of Valencia. He is also EMBA from Tsinghua-INSEAD. Javier is fluent in English, French and Spanish. He also speaks Mandarin.

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