Woven Products Sourcing in China, India, Mexico, Bangladesh, Pakistan, Vietnam, Turkey, and Korea Case study

One of our customers, a multinational maker of woven textiles, saw major price hikes throughout their 20-SKU range, costing them $1.14 million per year. The company required optimization of their sourcing strategy throughout China and additional regions of Bangladesh, Pakistan, India, Vietnam, Turkey, Mexico, and Korea. The supplier network of the company focused on limited geographic areas while costing more and diminishing their market benefits. 

Solution 

Dragon Sourcing implemented a comprehensive three-phase approach over 11 weeks to find a solution for this challenging situation: 

Phase 1: Market Analysis (Weeks 1-4) 

  • Conducted detailed demand analysis across 20 SKUs 
  • Mapped 308 potential suppliers across 8 countries 
  • Performed initial telephone screening based on manufacturing capabilities, export experience, and business type 

Phase 2: Supplier Evaluation (Weeks 5-8) 

  • Qualified 182 suppliers through phone screening 
  • Developed comprehensive RFI/RFQ templates 
  • Implemented a balanced scorecard system weighing: 
  • Business Information (40%) 
  • Production Management (20%) 
  • Quality Control Management (20%) 
  • Social Responsibility (10%) 
  • Cooperation Willingness (10%) 

Phase 3: Selection and Recommendation (Weeks 9-11) 

  • Evaluated 34 complete RFI/RFQ responses 
  • Analyzed 8 additional RFQ-only responses 
  • Selected 7 top-performing suppliers based on scoring and pricing 

Results: 

The initiative delivered substantial cost savings, identifying potential annual savings of $229,542, representing 20% of total spending. Competitive quotes revealed significant savings opportunities across multiple product categories, with reductions of up to 40% on bamboo hooded baby towels, 37% on classic kitchen towels, and 33% on fitness towels.  

 

The supplier evaluation process yielded 7 high-quality vendors, including a Chinese manufacturer scoring 71/100 and an Indian supplier with 49 years of industry experience scoring 56/100. The selected suppliers strengthened the supply base with ISO 9001 and BSCI certifications while achieving improved geographical diversification across multiple countries. 

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