Hat Sourcing - Case Study

Dragon Sourcing Your Tailored Sourcing Approach to Emerging Markets

Hat Sourcing - Case Study 27th Aug, 2015

1 Š 2015 Dragon Sourcing. All rights reserved.

Lynn Fan Tel: +86 21 61413965 Mob: +86 (0) 15900898910 Email: Lynn.fan@dragonsourcing.com

Agenda

1.

Introduction

2.

Category Demand Analysis

3.

Supply Base Response

4.

Quotation Analysis

5.

Supplier Recommendation

Š 2015 Dragon Sourcing. All rights reserved.

2

1. Objectives & Scope

Objectives Objectives was to secure savings through consolidating procurement and sourcing direct from manufacturers in emerging markets

Geographies included: China, Vietnam, India, Bangladesh, Turkey

Š 2015 Dragon Sourcing. All rights reserved.

3

1. Approach – Phase 1 Phase 1: Supplier Pre-Qualification No. Step Deliverables Demand Analysis  Project Requirement Work with Client to define and understand the products and requirements (specs, volumes, materials, Questionnaire 1. production technology requirements)  Kick-Off Report Supply Analysis 2.

Identify long list of potential suppliers in the selected markets by leveraging B2B Websites, DS  Supplier Long List Database, Fair catalogues, Chamber of Commerce, Magazines, Network, References.

Telephone Pre-screening Selection of suppliers to be included in the RFI/RFP process by telephone pre-screening based on 3.  Shortlist for RFI/RFQ agreed simple criteria (e.g. capability to make the product, minimum company size, interest in participating) Develop RFI/RFQ  RFI/RFQ Template Prepare an RFI/RFQ document, with an aligned Balanced Scorecard that has the objective to pre Balanced Scorecard 4. qualify the competitiveness and capabilities of the suppliers, including: Background, financial, Client  Introduction Letter and product experience, Quality certification & processes, Social Responsibility,  NDA Manufacturing/technology capability, R&D capability Milestone 1: RFI/RFQ & Scorecard Approved Conduct RFI/RFQ Administration  Control Sheet 5.

The RFI/RFQ is translated to the local languages as relevant, and distributed to the relevant suppliers,  Completed RFI/RFQs with telephone follow-up to push for maximum participation.  RFI/RFQ Report Analyze RFI/RFQ Responses Analysis of RFI/RFQ responses, estimation of logistics costs, and preparation of a report which profiles  Supplier Profiles 6. & objectively ranks the suppliers by capability and competitiveness, including a recommendation for  Proposed Shortlist for those to be audited.

Audit Milestone 2: Shortlist for Audit Agreed © 2015 Dragon Sourcing. All rights reserved.

4

1. Approach – Phase 2 Phase 2: Selection & Contracting No. Step Prepare for Audits 7.

Planning the audit schedule, budget, and drafting the Audit Questionnaire that will be used for the supplier self-assessment and on-site audits.

Conduct Audits Distribution of the Audit Questionnaire to suppliers for their self-assessment (and to get them 8. prepared), followed by onsite audits, with or without Client buyers, of all the suppliers. Focus is management, logistics, production & quality.

9.

Analyze Audit Results Analysis of the audit results, together with RFI/RFQ results, and preparation of a report that ranks the suppliers, including a recommendation for those for sample development.

Milestone 3: Shortlist for Sampling Agreed Sample Development & Testing 10. Managing the sample development and testing iterations to determine which suppliers can meet the quality.

Negotiation & Contracting 11. Conducting final negotiations with the shortlisted suppliers, and facilitating contracting between selected suppliers and Client.

Milestone 4: Contracts Secured

© 2015 Dragon Sourcing. All rights reserved.

5

Deliverables • Audit Plan • Audit Questionnaire  Completed Audit Questionnaires  Audit Report  Supplier Audit Profiles  Proposed Shortlist for Sampling  Samples  Sample Analysis Reports  Contract(s)

1. Schedule Phase 1 (Supplier pre-qualification): 8 weeks

Not started In process

Done Delay

Phase 1: Supplier Pre-qualification

Phase 1

Steps

Duration/week Week 1 Week 2 Week 3 Week 4 commencing June 8 ~ 12 June 15 ~ 19 June 22 ~ 26 June 29 ~ July 3

1. Demand Analysis

1

2. Supply Market Analysis

2

3. Telephone pre-screening

1

4. Develop RFI/RFQ

1

5. Administer RFI/RFQ

4

6. Analyze RFI/RFQ Responses

2

1

Week 5 July 6 ~ 10

Week 6

Week 7

Week 8

July 13 ~ 17 July 20 ~ 24 July 27 ~ 31

RFI/RFQ Approved

2 Shortlist for Audit Agreed

Š 2015 Dragon Sourcing. All rights reserved.

6

Agenda

1.

Introduction

2.

Category Demand Analysis

3.

Supply Base Response

4.

Quotation Analysis

5.

Supplier Recommendation

Š 2015 Dragon Sourcing. All rights reserved.

7

Category: Hats Product Picture

Product Specification Product description

Flex Fit Hat

Flex fit hat Cowboy hat

Material

Flex Fit Hat: 97% Cotton & 3% Spandex for Flex fit hats Cowboy hat: Raffia Straw & Paper Straw for Cowboy hats

Cowboy Hat

Š 2015 Dragon Sourcing. All rights reserved.

Packing & Packaging Information Packaging Description:

24 pcs per polybag for Flex fit hats 50 units per sleeve, 150 units per carton for Cowboy hats

Number of pieces in a 20'container

32,000 pcs for Flex fit hats 6,400 pcs for Cowboy hats

Number of pieces in a 40'container

72,000 pcs for Flex fit hats 14,400 pcs for Cowboy hats

Agenda

1.

Introduction

2.

Category Demand Analysis

3.

Supply Base Response

4.

Quotation Analysis

5.

Supplier Recommendation

Š 2015 Dragon Sourcing. All rights reserved.

9

3. Supply Base Response 231 suppliers in 5 countries were identified leading to 7 suppliers recommended for audit and sampling.

Progress review chart – Hats 250

231 20 200

30 35

# of supplier

150

134 6 24

41 100

14

17 50

62 2 8

105

6

40 1 4 13

40

31

6

73

7 61

0

No. of suppliers identified No. of suppliers passed No. of suppliers intend to and called phone screening & included respond in RFI/RFQ process

China

Š 2015 Dragon Sourcing. All rights reserved.

India

Bangladesh

10

No. of RFI/RFQ responses No. of suppliers received recommended for audit and sampling

Vietnam

Turkey

3. Supplier Geographic Distribution

20

62

Š 2015 Dragon Sourcing. All rights reserved.

11

3. Phone Screening Rejection Reason Analysis Phone screening - Rejection reason analysis 3% 2% 8% 8% 54%

13%

30%

37%

No. of suppliers

Phone Screening - Failed reason

%

China

India

Bangladesh

Vietnam

Turkey

1

3

Not reachable, called many times, but no one answer the phone.

34

54%

14

1

15

Used to produce hats, but don't produce it any more.

23

37%

13

8

1

Doesn't export / Can't export, or only focus on domestic market

19

30%

11

1

1

6

Traders only, not a manufacturer.

8

13%

3

1

1

3

Duplicated supplier

5

8%

1

3

1

Stopped the business: Bankrupted, cease the operation or production‌etc.

5

8%

Not interested in the project

2

3%

Only work for their mother company

1

2%

97

Š 2015 Dragon Sourcing. All rights reserved.

12

3 1

1

1

1

1 1

32

24

21

6

14

3. RFI/RFQ Rejection Reason Analysis RFI/RFQ - Rejection reason analysis 3%

2% 1% 2%

2%

1%

1%

25%

5% 5% 7%

18%

8% 8%

10%

RFI/RFQ - Failed reason

No. of suppliers

%

China India Bangladesh Vietnam Turkey

Promised to respond, but didn't respond before due date.(Some supplier need more time to respond.)

22

25%

9

5

3

4

1

Not interested in participating the selection process after reviewing the RFI/RFQ template.

17

18%

7

5

2

2

1

Too busy to reply or can't respond on time

10

10%

5

2

2

Can't reach supplier to follow up the RFI/RFQ completion status

8

8%

2

2

2

Not willing to proceed as they don't think their price will be competitive.

8

8%

8

Not willing to give company information (e.g. capacity, machine park, profit, ) through RFI at this stage.

7

7%

7

Can't find requested material in Vietnam for cowboy hat.

5

5%

Can't meet specification.

5

5%

They don't think they can meet the quality standard, need samples to check.

3

3%

Informed DS they cannot export directly or via agent after checking the RFQ.

2

2%

Have no production capacity free at the moment, engaged with current load, not able to respond to more orders.

2

2%

Unable to communicate in English, no English speaker

2

2%

Can't meet the function requirement: do not fade during the first 25 times of washing.

1

1%

Supplier think they can’t meet Molson Coors social compliance requirement.

1

1%

Supplier MOQ is the 20,000 pcs for one shipment.

1

1%

Š 2015 Dragon Sourcing. All rights reserved.

13

94

1 2

5 2

1

2

3 2 1

1 2 1 1 1

42

16

11

20

5

Agenda

1.

Introduction

2.

Category Demand Analysis

3.

Supply Base Response

4.

Quotation Analysis

5.

Supplier Recommendation

Š 2015 Dragon Sourcing. All rights reserved.

14

4. Quotation Analysis

FOB Price (supplier)

Freight forwarding, customs & duties DDP Price

FOB Price

+ + Sea Freight + + Cargo Marine Insurance +

Local charges Import Duty

+

Inland Truck Transportation cost

=

1) Sea Freight: (Sea Freight cost received from DS forwarder on July 22nd, 2015, valid until July 31st 2015) 2) Local charges and Inland truck transportation cost: (Received from DS forwarder on July 22nd, 2015, valid until July 31st 2015) 3) Import duty rate was searched in different government websites:

Š 2015 Dragon Sourcing. All rights reserved.

15

DDP Price

4. Quotation Analysis – Flex Fit Hat #

Suppleir name

RFI Score

FOB price (in USD)

Ocean freight (USD/container)

Country of Origin

20' GP

40' GP

Insurance (USD/pc) 20' GP

40' GP

CIF Price (USD/pc) 20' GP

Import Duty (USD/pc)

40' GP

local charges estimate (USD / Container) 20' GP

40' GP

DDP Price (USD/pc) 20' GP

Client Current Paid Price

Loading quantity in 20’GP

32,000

Loading quantity in 40’GP

72,000

DDP mark up % based on FOB

Saving %

Saving Value in USD

40' GP

20' GP

40' GP

20' GP

40' GP

20' GP

40' GP

2.08

1

Supplier 1

$1.05

China

0.006

0.006

1.167

1.116

1.19

1.13

13%

7%

43%

46%

22,334

23,889

2

Supplier 2

$1.20

China

0.007

0.007

1.318

1.267

1.34

1.28

12%

6%

36%

39%

18,564

20,119

3

Supplier 3

70

$1.30

China

0.007

0.007

1.419

1.367

1.44

1.38

11%

6%

31%

34%

16,051

17,606

4

Supplier 4

42

$1.34

China

0.008

0.007

1.459

1.407

1.48

1.42

10%

6%

29%

32%

15,045

16,600

5

Supplier 5

70

$1.35

China

0.008

0.007

1.469

1.417

1.49

1.43

10%

6%

28%

31%

14,794

16,349

6

Supplier 6

$1.39

China

0.008

0.008

1.509

1.458

1.53

1.47

10%

6%

27%

29%

13,789

15,344

7

Supplier 7

$1.47

China

0.008

0.008

1.590

1.538

1.61

1.55

10%

5%

23%

26%

11,778

13,333

8

Supplier 8

$1.50

China

0.009

0.008

1.620

1.568

1.64

1.58

9%

5%

21%

24%

11,024

12,579

9

Supplier 9

$1.55

China

0.009

0.009

1.670

1.619

1.69

1.63

9%

5%

19%

22%

9,768

11,323

10

Supplier 10

$1.64

China

0.009

0.009

1.760

1.709

1.78

1.72

9%

5%

14%

17%

7,506

9,061

11

Supplier 11

$1.65

China

0.009

0.009

1.771

1.719

1.79

1.73

9%

5%

14%

17%

7,255

8,809

12

Supplier 12

$1.66

China

0.009

0.009

1.781

1.729

1.80

1.74

8%

5%

13%

16%

7,003

8,558

13

Supplier 13

14

Supplier 14

15

Supplier 15

16

Supplier 16

17

92 75

$1.68

China

$1.68

China

0.009

0.009

1.801

1.749

1.82

1.76

8%

5%

12%

15%

6,501

8,056

0.009

0.009

1.801

1.749

1.82

1.76

8%

5%

12%

15%

6,501

8,056

65

$1.74

67

$1.75

China

0.010

0.010

1.861

1.810

1.88

1.82

8%

5%

10%

13%

4,993

6,548

China

0.010

0.010

1.871

1.820

1.89

1.83

8%

5%

9%

12%

4,741

Supplier 17

6,296

$1.79

China

0.010

0.010

1.911

1.860

1.93

1.87

8%

4%

7%

10%

3,736

5,291

18 19

Supplier 18

$1.80

China

0.010

0.010

1.921

1.870

1.94

1.88

8%

4%

7%

10%

3,485

5,040

Supplier 19

$1.85

China

0.010

0.010

1.972

1.920

1.99

1.93

8%

4%

4%

7%

2,228

3,783

20

Supplier 20

$1.85

China

0.010

0.010

1.972

1.920

1.99

1.93

8%

4%

4%

7%

2,228

3,783

21

Supplier 21

50

$1.93

China

0.011

0.011

2.052

2.001

2.07

2.01

7%

4%

3%

218

1,773

22

Supplier 22

$1.95

China

0.011

0.011

2.072

2.021

2.09

2.03

7%

4%

2%

23

Supplier 23

67

$2.00

China

0.011

0.011

2.122

2.071

2.14

2.08

7%

4%

13

24

Supplier 24

74

$2.00

China

0.011

0.011

2.122

2.071

2.14

2.08

7%

4%

13

25

Supplier 25

$2.26

China

0.013

0.012

2.384

2.332

2.40

2.34

6%

4%

26

Supplier 26

$2.35

China

0.013

0.013

2.474

2.423

2.49

2.43

6%

4%

27

Supplier 27

$2.50

China

0.014

0.014

2.625

2.574

2.65

2.58

6%

3%

0.011

0.011

2.109

2.070

2.13

2.08

6%

4%

0.014

0.014

2.629

2.577

2.65

2.59

6%

3%

0.010

0.009

1.825

1.773

1.85

1.78

9%

5%

0.019

0.019

3.635

3.583

3.66

3.59

4%

3%

0.015

0.014

2.765

2.714

2.78

2.72

5%

3%

0.010

0.010

1.940

1.890

1.96

1.90

7%

0.011

0.010

2.011

1.960

2.03

1.97

7%

0.009

0.009

1.689

1.639

1.71

1.65

0.017

0.016

3.156

3.116

3.18

3.13

28

Supplier 28

19

$2.00

India

29

Supplier 29

49

$2.50

Bangladesh

30

Supplier 30

50

$1.70

Bangladesh

31

Supplier 31

61

$3.50

Bangladesh

32

Supplier 32

50

$2.65

Vietnam

33

Supplier 33

66

$1.83

Vietnam

34

Supplier 34

61

$1.90

Vietnam

35

Supplier 35

$1.58

Vietnam

36

Supplier 36

$3.05

Turkey

3,560

3,130 3,700

3,200

2,850

4,320

4,250 4,600

3,600

3,600

0

Recommended for audit and sampling © 2015 Dragon Sourcing. All rights reserved.

655

705

1,270

38 11%

14%

5,888

7,455

4%

6%

9%

3,014

4,537

4%

2%

5%

1,254

2,778

8%

4%

18%

21%

9,297

10,820

4%

2%

Note: Suppliers with no score are the ones who didn't respond to RFI. 16

4. Quotation Analysis – Flex Fit Hat

Flex Fit hat - DDP Price comparation $4.00 92 70

75

70

65

67

67

50

42

3.66

74

66

61

50

50

49

100

61 19

$3.00

2.78

7 Recommended for audit and sampling with 6% ~ 19% savings, 5 K to 16 K USD. 2.08

$2.00 1.34

1.44

1.48

1.49

1.53

1.61

1.64

1.69

1.78

1.79

1.80

1.82

1.82

1.88

1.89

1.93

1.94

1.99

1.99

2.07

2.09

2.40 2.14

0

2.65

2.65

Unit price in USD

3.18

2.49

2.14 1.96

2.13

2.03

(100)

1.85

1.71

(200)

1.19

$1.00 (300)

$0.00

Client Client

China China

Recommended for audit and sampling Š 2015 Dragon Sourcing. All rights reserved.

Vietnam Vietnam

FOB price

DDP price (20' GP Loading)

17

RFI Score

Supplier 36

Supplier 28

Supplier 31

Supplier 29

Supplier 30

Supplier 32

Supplier 34

Supplier 33

Supplier 35

Supplier 27

Supplier 26

Supplier 25

Supplier 24

Supplier 23

Supplier 22

Supplier 21

Supplier 19

Supplier 20

Supplier 18

Supplier 17

Supplier 16

Supplier 15

Supplier 13

Supplier 14

Supplier 12

Supplier 11

Supplier 10

Supplier 9

Supplier 8

Supplier 7

Supplier 6

Supplier 5

Supplier 4

Supplier 3

Supplier 2

Supplier 1

Current paid price

(400)

Bangladesh Turkey IndiaTurkey Bangladesh India

4. Quotation Analysis – Cowboy Hat

Loading quantity in 20’GP

6,400

Loading quantity in 40’GP

14,400

Material: Raffia Straw #

Supplier name

RFI Score

FOB price (in USD)

Ocean freight Country of (USD/container) Origin

Insurance (USD/pc)

CIF Price (USD/pc)

Import Duty (USD/pc)

20' GP 40' GP 20' GP 40' GP 20' GP 40' GP Supplier 1 Supplier 2 Supplier 3 Supplier 4 Supplier 5 Supplier 6 Supplier 7 Supplier 8 Supplier 9 Supplier 10 Supplier 11 Supplier 12 Supplier 13 Supplier 14

$2.76 $2.81 $3.00 $3.00 $3.45 $3.56 $3.60 $3.70 $3.78 $3.90 $4.10 $4.17 $2.75 $4.15

47 70 47 78 81 81

49 50

China China China China China China China China China China China China Bangladesh Bangladesh

3,560 3,560 3,560 3,560 3,560 3,560 3,560 3,560 3,560 3,560 3,560 3,560 3,700 3,700

4,320 4,320 4,320 4,320 4,320 4,320 4,320 4,320 4,320 4,320 4,320 4,320 4,600 4,600

0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02

0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02

3.33 3.38 3.58 3.58 4.03 4.14 4.18 4.28 4.36 4.48 4.68 4.75 3.35 4.75

3.08 3.13 3.32 3.32 3.77 3.88 3.92 4.02 4.10 4.22 4.42 4.49 3.09 4.49

DDP Price (USD/pc)

DDP mark up % based on FOB

20' GP 40' GP 20' GP 40' GP 20' GP 2.92 655 705 3.44 3.13 24% 655 705 3.49 3.18 24% 655 705 3.68 3.37 23% 655 705 3.68 3.37 23% 655 705 4.13 3.82 20% 655 705 4.24 3.93 19% 655 705 4.28 3.97 19% 655 705 4.38 4.07 18% 655 705 4.46 4.15 18% 655 705 4.58 4.27 17% 655 705 4.78 4.47 17% 655 705 4.85 4.54 16% 655 705 3.45 3.13 25% 655 705 4.86 4.54 17%

Client Current Paid Price 1 2 3 4 5 6 7 8 9 10 11 12 13 14

local charges estimate (USD / Container)

0 0 0 0 0 0 0 0 0 0 0 0 0 0

40' GP

Saving %

20' GP

40' GP

Saving Value in USD 20' GP

40' GP

13% 13% 12% 12% 11% 10% 10% 10% 10% 10% 9% 9% 14% 9%

Material: Paper Straw #

Supplier name

RFI Score

FOB price (in USD)

Ocean freight Country of (USD/container) Origin

Insurance (USD/pc)

CIF Price (USD/pc)

Import Duty (USD/pc)

20' GP 40' GP 20' GP 40' GP 20' GP 40' GP Client Current Paid Price

local charges estimate (USD / Container)

DDP Price (USD/pc)

DDP mark up % based on FOB

Saving %

20' GP 40' GP 20' GP 40' GP 20' GP 2.92

40' GP

20' GP

40' GP

Saving Value in USD 20' GP

40' GP

1

Supplier 1

$1.44

China

0.01

0.01

2.01

1.75

2.11

1.80

46%

25%

28%

39%

122,230 168,878

2

Supplier 4

47

$1.85

China

0.01

0.01

2.42

2.16

2.52

2.21

36%

19%

14%

24%

60,405

107,053

3

Supplier 3

70

$2.00

China

0.01

0.01

2.57

2.31

2.67

2.36

34%

18%

9%

19%

37,786

84,435

4

Supplier 6

78

$2.05

China

0.01

0.01

2.62

2.36

2.72

2.41

33%

18%

7%

18%

30,247

76,895

5

Supplier 8

81

$2.10

China

0.01

0.01

2.67

2.41

2.77

2.46

32%

17%

5%

16%

22,707

69,355

6

Supplier 2

47

$2.34

China

0.02

0.01

2.91

2.65

3.01

2.70

29%

16%

8%

33,165

7

Supplier 12

$2.38

China

0.02

0.01

2.95

2.69

3.05

2.74

28%

15%

6%

27,134

8

Supplier 9

$3.08

China

0.02

0.02

3.66

3.40

3.76

3.45

22%

12%

81

3,560

4,320

0

655

705

Note: Suppliers with no score are the ones who didn't respond to RFI. © 2015 Dragon Sourcing. All rights reserved.

18

4. Quotation Analysis – Cowboy Hat Cowboy hat - DDP Price comparation 100

$8.00 81

78

$2.00

81

70

50 49 4.54 4.54 4.47 4.27 4.17 4.15 4.15 4.10 4.07 3.97 3.93 3.90 3.82 3.78 3.70 3.60 3.56 3.45 3.37 3.37 3.45 3.18 3.00 3.13 3.13 3.08 3.00 2.92 2.81 2.76 2.75 2.74 2.70 2.46 2.34 2.41 2.38 2.36 2.21 2.10 2.05 2.00 1.85 1.80 1.44 47

$4.00

81

78

70

$6.00

Unit price in USD

81

47

47

47

Paper Straw Paper Straw

Client Client

DDP price

19

Supplier 14

Supplier 13

Supplier 12

Supplier 11

Supplier 10

Supplier 9

Supplier 8

Supplier 7

Supplier 6

Supplier 5

RaffiaRaffia Straw

Raffia Straw

Straw

Bangladesh Bangladesh

China China

FOB price

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Supplier 4

Supplier 3

Supplier 2

Supplier 1

Supplier 9

Supplier 12

Supplier 2

Supplier 8

Supplier 6

Supplier 3

Supplier 4

Supplier 1

(45) Current paid price

$0.00

40' GP Loading

RFI Score

Agenda

1.

Introduction

2.

Category Demand Analysis

3.

Supply Base Response

4.

Quotation Analysis

5.

Supplier Recommendation

Š 2015 Dragon Sourcing. All rights reserved.

20

5. RFI Scorecard and Ranking Summary

Flex Fit Hat - Supplier RFI Scorecard summary 100 92 90 80

75

74

RFI Score

70

70

70 67

67

66

65

61

61

58

60 50

50

50

50

49

42

40 30 19

20 10

Company Background

Cooperation Willingness

RFQ Completeness

Recommended for audit and sampling Š 2015 Dragon Sourcing. All rights reserved.

21

Production Capability

Supplier 18

Bangladesh

Supplier 16

Supplier 13

Supplier 11

Supplier 14

Supplier 10

Supplier 8

Vietnam

Supplier 12

China

Supplier 17

Supplier 15

Supplier 9

Supplier 6

Supplier 7

Supplier 5

Supplier 4

Supplier 3

Supplier 2

Supplier 1

0

Turkey

India

Quality Control Management & Certifications

5. Supplier Recommendation No.

Country Of Origin

Supplier name

RFI Score

Potential Saving In USD

1

China

Supplier 4

70

16,051

2

China

Supplier 5

70

14,794

3

China

Supplier 1

92

7,255

4

China

Supplier 2

75

6.501

5

China

Supplier 9

65

4,993

6

China

Supplier 6

67

4.741

7

Bangladesh

Supplier 13

50

5,888

© 2015 Dragon Sourcing. All rights reserved..

Reason for recommending • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •

Competitive price. Have quoted 2 item，2 item with potential saving.

Highest Total saving value 16 K USD among all suppliers.

23 years production experience in the industry, Produced the similar Hats before.

Over 30% export to EU & US, with 23 years of export experience.

Competitive price. Have quoted 1 item，1 item with potential saving.

Total saving value 15 K USD among all suppliers.

9 years production experience in the industry, Produced the similar Hats before.

Over 47% export to EU & US, with 9 years of export experience.

Competitive price. Have quoted 1 item，1 item with potential saving.

Total saving value 7 K USD among all suppliers.

17 years production experience in the industry, Produced the similar Hats before.

Over 30% export to EU & US, with 10 years of export experience.

All production steps are in house.

Competitive price. Have quoted 1 item，1 item with potential saving.

Total saving value 6.5 K USD among all suppliers.

17 years production experience in the industry, Produced the similar Hats before.

Over 35% export to EU & US, with 11 years of export experience.

All production steps are in house.

Have quoted 1 item，1 item with potential saving.

Total saving value 5 K USD among all suppliers.

10 years production experience in the industry, Produced the similar Hats before.

Over 30% export to EU & US, with 10 years of export experience.

Have quoted 1 item，1 item with potential saving.

Total saving value 5 K USD among all suppliers.

11 years production experience in the industry, Produced the similar Hats before.

Over 50% export to EU & US, with 11 years of export experience.

Have quoted 2 item，1 item with potential saving.

Total saving value 6 K USD among all suppliers.

14 years production experience in the industry, Produced the similar Hats before.

14 years of export experience.

Sedex, Oeko-Tex, BSCI, Certificate 22

RFI/RFQ rank: 1

Company Name: Supplier 1 Company Background

Score: 92 HUMAN RESOURCES

COMPANY INFORMATION Company Name

Factory Workers

Quality Control staff

Mold designer

330

10

5

Factory Address City

Employee No.

Sales & Sample making Management and staff Other staff 5

25

2015 Forecast

2014

2013

3.8 M

2M

2.7 M

Province ANNUAL TURNOVER

Country Company Website CONTACT PERSON INFORMATION

Total Sales Turnover (in M USD)

Contact Person Title

MAIN MARKET

Email Address

Europe (%)

Canada (%)

US (%)

Asia (%)

Rest of the world (%)

25

5

10

55

5

% of Sales

Type of Product

Telephone Number % of Sales

Mobile Number

TOP 3 CUSTOMER

COMPANY BACKGROUND Year Founded

1998

Customer Name

Ownership (State Owned/ Private/ Foreign Invested)

Private

Ayazkurbanov

Russia

15

baseball cap

Business Type: Manufacturer, or trader ?

Manufacturer

Dirk

US

11

snapback hat

Binta

Asia

10

baseball cap

Registered Capital (in US$)

100,000

Export License ? (Y/N)

No

Able to export to EU or Canada ? (Y/N)

Yes

Export Experience (in Years) Work Floor Size ( Square meters) Total Employee Number No. of English speaker and writer Main products

© 2015 Dragon Sourcing. All rights reserved.

Top 3 Customers

10 2,500 380 5 baseball caps, snapback hats,sports caps, sunbonnets, bucket hat, kid caps

Industry

Country

CORPORATE SOCIAL RESPONSIBILITY Declare to adhere to all rules and regulations in respect to child labor? (Y/N)

Yes

Working hours specified in the employment contract? (Y/N)

Yes

Declare to adhere to all rules and regulations in respect to environmental issues? (Y/N)

Yes

Declare to adhere to all rules and regulations in respect to health and safety issues? (Y/N)

Yes

Declare able to comply with Molson Coors supplier standard (Social compliance). (Y/N)

Yes

23

RFI/RFQ rank: 1

Company Name: Supplier 1 Production Capability & Design Capability

Score: 92

PRODUCTION CAPABILITY Annual Qty.

Able to Produce (Y/N)

Monthly Actual annual All production Manufacturer Production Production production in steps are In-house or experience Briefly specify the production process Capacity 2014 In-house? (years) outsourcing?

(Pcs / Month) (Pcs / year) (Y/N)

Which production steps are outsourcing?

T-shirt Man / Woman Polo Shirt Man / Woman Shirt Man / Woman Apron Table Cloth Beach Towel Flex Fit Hat

Yes

In-house

500,000

16

7,000,000

Die cutting

Yes

embroidery/printing

Cowboy Hat

DESIGN CAPABILITY & PRODUCTION CUT OFF PERIOD Have design capability in-house, able to propose a design based on client brief. (Y/N)

Yes

Have prototyping / sample production capability in-house (Y/N)

Yes

Production cut off period for Chinese New Year. (From which date to which date)

One week before new year and one week after the new year

Order cut-off date for order to be shipped before Chinese new year. (Date)

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1 month before the new year

24

Order / production lead time (in weeks)

RFI/RFQ rank: 1

Company Name: Supplier 1 Production Equipment & Quality Control Management

Score: 92

PRODUCTION EQUIPMENT Equipment name

Quantity

Brand / Type

CERTIFICATIONS Usage of the Equipment

Certificate

Y/N

ISO 9001:2008 Quality management systems

Yes

Date of Certificate

Date of Expire

Certificate Certifying number. Organization

Date of Expire

Certificate Certifying number. Organization

ISO 14001 Environmental management systems SA 8000 Euro 1 Certificate

PRODUCT CERTIFICATIONS

QUALITY CONTROL MANAGEMENT Able to comply AQL Standard: Critical 0, Major 1.0, Minor 2.5 (Y/N)

Yes

Able to comply AQL Standard: Critical 0, Major 2.5, Minor 4.0 (Y/N)

Yes

General Production Defective Rate (% rejected)?

0.13

Time to keep QC records? (in Month)

120

Accept 3rd party QC? (Y/N)

Yes

Have product recall system in place (Y/N)

Yes

Customer Satisfaction Survey in place (Y/N)

Yes

Internal rule regarding maximum reaction time of quality claim (hours)

72 h

© 2015 Dragon Sourcing. All rights reserved.

Product Certificate

25

Y/N

Date of Certificate

RFI/RFQ rank: 1

Company Name: Supplier 1 Photos

Score: 92 FACTORY PHOTOS

Factory Overview

Office

Warehouse

Workshop

Workshop

Machinery

Machinery

Machinery

Showroom

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