Introduction
In today’s fast-evolving hospitality landscape, delivering novel guest experiences hinges on innovation and smart sourcing. This case study showcases how Dragon Sourcing, a global procurement powerhouse, supported a design and innovation consultancy in realizing its ambitious capsule hotel project in Edinburgh – by identifying and qualifying the best-fit suppliers from Eastern Europe.
Project Snapshot
The client, an industry-leading design consultancy, sought to roll out an advanced capsule hotel concept featuring:
Custom-designed sleeping pods with integrated soundproofing, lighting, ventilation, and modern comforts like faux leather headboards and USB ports.
Safety measures including smoke and heat detectors.
Modular construction with built-in storage and easy installation.
The challenge? Finding capable suppliers with expertise in modular furniture, a proven installation record, and capacity to meet a tight delivery and installation schedule by January 2025.
Dragon Sourcing’s Methodical Approach
Dragon Sourcing executed a robust two-stage sourcing strategy to ensure the client received competitive and reliable options:
Stage 1: Supplier Identification & Shortlisting
Demand Analysis: Collaborated with the client to finalize product specifications and technical requirements.
Supply Market Analysis: Mined data from B2B platforms, DS’s proprietary database, trade fairs, and local chambers of commerce to compile a comprehensive long list of 76 potential suppliers across eight Eastern European countries.
Phone Pre-Screening: Evaluated suppliers on key criteria — manufacturing capabilities, NDA willingness, certifications — trimming the list down to 10 qualified prospects.
Stage 2: Due Diligence & RFI/RFQ Management
NDA Management: Ensured confidentiality by reviewing, updating, and securing signed NDAs from seven suppliers.
RFI/RFQ Execution: Crafted detailed RFI/RFQ documents with a balanced scorecard to gauge each supplier’s competitiveness, technical expertise, financial strength, and social responsibility compliance.
Key Insights & Outcomes
Thorough Vetting: From an initial pool of 76, only three suppliers provided complete quotations after rigorous screening — reflecting Dragon Sourcing’s commitment to quality over quantity.
Transparency & Client Involvement: Weekly progress reports, rejection analyses, and full supplier profiles empowered the client to make informed decisions.
Effective Use of Digital Tools: The entire process, from database creation to RFI/RFQ administration, was streamlined using Dragon Sourcing’s e-sourcing platform — ensuring efficiency despite timeline extensions due to design finalizations and local holidays.
Clear Timelines: While originally scoped for nine weeks, the project wrapped up in 15 weeks, balancing thoroughness with client design changes and regional constraints.
Final Deliverables
The client received:
Verified supplier profiles with cost breakdowns (EXW pricing, transport, installation).
Clear timelines for prototype development, full production of 236 pods, and on-site installation.
Insight into logistical considerations, including storage, transport, and assembly in Edinburgh.
Conclusion
By leveraging its deep market intelligence, extensive supplier networks, and structured processes, Dragon Sourcing enabled its client to move forward with confidence – ensuring the innovative hotel capsule concept could become reality, on time and within budget.
This case exemplifies how strategic sourcing is not just about cost savings – it’s about unlocking value, managing risk, and driving innovation in complex projects.
Interested in how Dragon Sourcing can help your next big idea?
Visit Dragon Sourcing to learn more about their global procurement expertise and sustainable sourcing solutions.
Download the Case Study: Case Study Hotel Capsules