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Vendor Coordination in China

Educate Rather Than Dictate

Clients who engage PassageMaker for the virtual office service often assign to the China team various tasks related to Vendor Coordination.

Value Proposition: Benefits of having the virtual office team conduct vendor coordination

  • Dedicated support staff on the ground in China ensure that the clients’ requirements for price, quality and lead-time are realized.
  • “Educate rather than dictate” – PassageMaker can train your team on how to work effectively with Chinese and other Asian suppliers.
  • The direct savings that our customers enjoy with efficient and effective supply chain management far outweighs the costs to set up the virtual office with PassageMaker.

Vendor Coordination Overview

Here is a list of tasks related to Vendor Coordination in China which are conducted by the support team in your virtual office in China:

Preparation Work on Behalf of Overseas Clients

  • Initial meeting with suppliers to ensure PO requirements are understood in full
  • Project management reporting structure confirmed and scheduled in local language with the supplier
  • Project management reporting structure confirmed and scheduled in the preferred language of the Client
  • Coordination of samples (both pre-production and production reference samples)

PO Management

  • Review of key documents (Invoices, PO, Service Agreements) for the order
  • On-going coordination between supplier and client to ensure delivery of desired products, units ordered, lead times, packing methods, etc
  • Liaison with secondary vendors related to the PO such as client appointed raw material providers, printers & packaging providers
  • PassageMaker is available to disperse payment to Chinese suppliers in local currency as part of its virtual office service

Quality Review

  • Review and adjustment of factory’s internal quality control system
  • On-going collection and review of the factory’s internal quality control data generated during the production of the client’s PO
  • Organizing independent lab testing
  • Arranging 3rd party quality inspections on site at supplier’s production facility

Logistics,  Assembly/Inspection & VAT Rebate Processing

  • Consultation and coordination of export licensing and China customs clearance
  • Logistics support in the form of documentation review and coordination of shippers, and brokers in China and in the client’s home market
  • Analysis and advise on applicable China VAT rates and potential rebate process
  • PassageMaker’s Assembly / Inspection Center may be utilized as the clients virtual factory if a dedicated facility is needed to inspect/sort/assembly or package client’s goods
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