Supplier Development Study For Finnish N Company With Chinese Project

After China’s accession to WTO, the export business became one third of major part of the domestic economy. Nowadays, China is the 2nd biggest trading and the biggest export country all over the world. According to the big firms’supplier chain moving to low cost countries (Mainly in China), more and more overseas small and middle size enterprises (SMEs) took the big pressure for the business. Especially after the financial crisis from the United States, lots of SMEs had to face the situation of market and business competition power going down. The SMEs’global sourcing demands and opportunities were appeared.The article is studied the oversea SMEs’supplier development during sourcing in China. It is including the suppliers’got and choice. The SMEs and big firms have the big difference in the global sourcing according to the SMEs’own characters which will be show on the suppliers’ development method. The SMEs’problems are studied during the global sourcing, like the benefits, excellent suppliers, payment terms, quality and human resource. The company "N" as the study subject is compared with other SMEs.In the charpter 4, the supplier developing methods are detail described for the global sourcing. Then the supplier development way of company "N" is presented which is follow below main area:1. Supplier developing principle:The supplier developing follow the project management way, multi-ways to get the suppliers, suitable suppliers for evaluating and selecting, economical for the procurement and easy way to work.2. Supplier developing process:WBS analysis the supplier’s development, setting the develop process and time table.3. Supplier developing key process and implement method:collection the information, getting the potential suppliers, price confirmation and suppliers’evaluation and final choice.Totally two samples are studied which follow company "N"’s supplier development methods in the charpter 5, but the results are opposite. From these samples, it can be understood the SMEs’global sourcing problems and enlightenments.In the end of the thesis, there are some advices and enlightenments for the global sourcing SMEs, domestic suppliers and government.