Supply Chain Management & Sourcing
In recent years the Asia-Pacific region has faced challenges that have seriously tested its socio-economic infrastructure and development – economic crises, natural disasters, conflicts and the spread of globalization. However, throughout the period of tumult Cambodia and Vietnam have proven to be surprisingly resilient.
Why Source in Cambodia
Cambodia is a rapidly changing society that still gets insufficient notice from investors but presents many opportunities for the investors willing to research and proceed prudently, tourism being only one of the opportunities although one of the more visible. Although more progress still needs to be achieved in legal and judicial reform and rule of law and transparency, foreign investors are increasingly convinced of the Royal Government’s commitment to the process of reform itself. The country’s commitment to a market-based economy is without question and is enshrined in the Constitution.
In looking at economic opportunities in Cambodia, one always needs to look at them in the context of Cambodia’s larger relationship with the region. In 1999, Cambodia became a member of the Association of South-East Asian Nations (ASEAN), a political grouping which groups 10 countries with a total population of about 550 million and a GDP of something under $600 billion — at purchasing power parity, $1.8 trillion.
Cambodia has one of the most open economies in what is a generally very open economic region. According to the Heritage Foundation’s Index of Economic Freedom which is compiled annually Cambodia ranked 35th among 170 countries in 2008 in terms of economic freedom. This is not to say that Cambodia is not without problems similar to many poor less developed countries (LDCs) such as poor health care, limited infrastructure, low government salaries, etc. but at least with respect to doing business the country does offer a progressive welcome to investors. Emblematic of this welcome, according to the Index, Cambodia is at the top of the chart among world’s LDCs in market-friendliness.
In this era of rapidly changing demand, supply chain management has become very critical to manage risk, dynamism, and complexities of global sourcing. A totally integrated supply chain is required for the company to get gain the maximum benefits. Cambodia ,owing to its improving regulatory and labor profiles, should be on every garment sourcing shortlist.
Full supply chain management services are provided and customized to clients’ needs such as Business Sourcing in Cambodia, Screening, Company Profiling and Business Matching, Cambodia Escorted Factory Tours, Sampling, Quotations, Negotiations, Procurement, Manufacturing Agreements, Production Oversight, Quality Control Inspections and Product Shipment.
Sourcing and Supply Chain Management- Vietnam
Why to source in Vietnam
Vietnam is one of the world’s most prominent supply centers of competitively priced garments. As theworld’s fifth-largest garment exporter, the country is home to more than 2,000 enterprises, most of which provide OEM services to a large number of prominent apparel and retail brands.
Vietnam's young labor pool is one of many important factors that appeal to foreign companies.
Vietnam is one of the leading supply centers of competitively priced footwear in the world and supplies the Nike, Adidas, Puma and Reebok companies. Worldwide it is the fifth-largest exporter of shoes and sandals.
Vietnam is a very good choice for clothing of all kinds, wooden furniture and corporate gifts. It has a growing industry in electronic parts, components, assemblies and plastics. Vietnam sourcing ranks third after China and India for outsourcing IT and software services to Japan and recently activity is evident in the outsourcing of HR services.
Minimum wage increases across China’s major cities and provinces have pushed up China labor costs significantly. In 2010, China’s average labor cost was reported $1.84/hour, up by 14 percent from 2009, while that of Vietnam was only $0.49/hour, up by 2 percent from 2009.
Supply Chain management in Vietnam
Continuous improvement of Supply Chain and Logistics operations is vital to any business, but it a very high priority for growing businesses in Vietnam. Effective Supply Chain and Logistics structures and processes can improve the bottom line significantly and establish a business on a firm foundation for growth. You should talk to our Supply Chain and Logistics Consultants.
Full supply chain management services are provided and customized to clients’ needs such as Business Sourcing in Vietnam, Screening, Company Profiling and Business Matching, VN Escorted Factory Tours, Sampling, Quotations, Negotiations, Procurement, Manufacturing Agreements, Production Oversight, Quality Control Inspections and Product Shipment.