The total cost of your low cost items may be high

Roger OakdenProcurement, Supply Chains & Supply Networks

Calculating the total cost of ownership (TCO)

Know the Total Cost of Ownership for items. Are you thinking about outsourcing the manufacture and delivery of a product, or renewing a current outsourcing contract? For manufacturing items, you may think of China or other countries in north or south east Asia. Why? because production costs are considered to be lower. Labour costs are still a dominant feature when … Read More

Government policy can affect your supply chains

Roger OakdenGlobal Logistics

Containers operation at the wharf

When governments want to make money. Your business has shipped through a port for many years. Suppose the port is owned by the government and they have decided to substantially increase the rent paid by stevedores. The reason is to make the port attractive for sale to private operators. Of course, to cover the rent increase, stevedores will increase their rates … Read More

Buying from low cost countries has supply chain risks

Roger OakdenProcurement

Business people greeting each other

Another case of problems with international suppliers. Companies that buy items internationally, which become products sold through retail stores have many risks. A big risk is that the media, including social media, will uncover any misdeeds and ‘cutting corners’ by your business and your international suppliers. And you will get all the publicity you do not need! Examples of problems … Read More

Bad products are not worth supply chain & logistics costs

Roger OakdenGlobal Logistics

Berries - Strawberry, Currant, Blackberry, Raspberry

Know your imported products supply chain risks. If your business imports products, there are additional supply chain risks, depending on the country, that must be identified and managed. In Australia, frozen berries (strawberries, blueberries, raspberries etc.) are being pulled this week from home larders, school canteens and supermarket shelves. The reason is Hepatitis A, contracted when consumers eat the thawed … Read More