Procurement Audits

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China’s exports grew by 35.4% in 2004. With typical savings of 25%-50% compared to traditional sources, it is easy to explain the continuing attraction of Chinese goods. However, overseas buyers face many risks despite the seemingly positive results. These commonly include high agency commissions, poor service, kick- backs of 5-10%, and expensive complacency in a very competitive market.

Wal-Mart bought an estimated US$10-15 billion from China in 2004 (and is expected to double that by 2007). With companies buying on this scale, the impact of successful supply chain and risk management on profits can be huge. Despite the work that goes into setting up procurement systems, very few companies have permanent or independent procurement audit functions.

China Business Services effectively fills this gap with innovative procurement audits, and structured procurement plans. These services help companies take an objective look at their processes, and risks, and can deliver real and immediate benefits to the bottom line.

Please contact us to discuss your requirements.

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