1995 NAPM Insights Article Index
Term selected: International
A valuable reference tool, the Article Index is a comprehensive list of articles that have appeared in Inside Supply Management® (formerly Purchasing Today® and NAPM Insights®) magazine. Articles are organized by subject for easy locating and study.
The leadtime of materials, from the supplier's floor to your floor, depends greatly on the scope of your procurement efforts as well as the location of your source. The international-source arena adds leadtime challenges not encountered by the domestic purchaser.
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The following list contains organizations, publications, and other information that can help purchasers purchase more effectively on the world stage. This list is not all inclusive but can serve as a starting point for purchasers wanting to source globally.
Enhanced communications technology as well as renewed interest in international trade agreements have sparked "globalization" campaigns worldwide. These campaigns, promoted by small and large businesses alike, share a common strategy: to boost competitiveness.
International sourcing is no longer an option just for megacorporations. Small businesses are tapping into the vast global market, too. In a recent NAPM survey of 420 purchasers in small businesses, 64.8 percent of the respondents said they were purchasing goods and services from international sources. Of those companies that were purchasing internationally, 53.6 percent purchased 1-5 percent of their total goods and services from international sources, 12.1 percent said it was between 6-9 percent, and 14.7 percent said it was between 10-15 percent. As many as 7.5 percent of the respondents who purchased internationally said that 40 percent of their total goods and services were purchased internationally. According to the NAPM survey, the small businesses were purchasing primarily from sources in Germany, Canada, Japan, United Kingdom, and Taiwan.
Asked why he wanted to climb Mt. Everest, George Mallory spoke those famous words, "Because it is there." The business of global sourcing - not only because "it's there" - offers huge potential to expand operations and gain a competitive edge. Global sourcing, in short, makes good business sense.
Most purchasers are aware of the numerous costs that arise when purchasing offshore. Many purchasers are experiencing those costs right now due to drastic changes in foreign-currency markets.