The fundamental driver for Global Sourcing and Direct Importing is to reduce the buyers cost of goods and thereby improve the customer offer by enabling both volume driving prices and margin driving range and choice.
This can be achieved either by shifting production from high to low labour cost origins, generally in Asia, and / or by removing middle men / importers and going direct to source for items already produced in low cost origins.
However it is not a universally correct answer either at the organisation, category or individual item level; as with most things the devil is in the detail. However a strong framework to evaluate the suitability on a case by case basis will avoid a wrong move which may end up actually increasing the final landed cost of goods and damaging either the P&L, the customer offer or both.
We have worked within one of the worlds biggest Global Sourcing / Direct Importing organisations and have first hand knowledge of the critical success factors for winning in this area. Our experience and tool kits can help you avoid the pitfalls and maximise the customer offer and margin benefits of a well thought out Sourcing Strategy.