Replacing your local in-house purchasing personnel for Chinese personnel in China. Working within China, lower salaries and access to local resources creates a better and more productive working environment for your purchasing department. With the smaller world becoming more one working place, countries with unique competencies become interesting to make use of. Experience in the manufacturing and product development sector is found in China.
Experienced labour force in manufacturing, product development and supply chain
With 30 years of manufacturing experience, China is a country fully developed on manufacturing, product development and supply chain. Years of experience and development in this sector have created a labour force with experience within this sector outclassing the competencies, knowledge and costs of the same functions in Europe and US. With a significantly bigger population and in average lower wages, the labour force in China is an attractive opportunity to consider.
Hire purchasing personnel in China
Supply chains and other resources are almost entirely located in China. The practical supply chain and China knowledge of a general employee within the sector are considered to be highly experienced compared to a general employee in Europe or the US. Moving your purchasing positions to China would result in benefitting from the available experience, supply chains and local resources. Your personnel is working closely together with your suppliers within China. Able to visit suppliers and communicate with suppliers efficiently. Creating more productive environments for your employees and gaining profit out of the lower salaries, lower operational costs, local resources and by having no distance between your purchasing department and China at all.
Control your employees in China
Modern communication and transportation tools are far developed. China is not an unreachable destination anymore. Assets located in China are therefore able to control and manage, protecting your interests in China. Resulting in a distance between Europe/US and China becoming more than bridgeable instead of a bridge too far.
India as an example of the transition of labour
India is have already positioned itself within the IT industry. IT development would before have been developed locally in Europe. A big part of the software and animation movies you see online are all developed in India. But not by an Indian company, by a local company with personnel operating from India.
Benefit: Lower wages for more practical experience
General employees within the manufacturing, product development and supply chain sector have more practical China experience and competencies than the same employees in Europe or US. A similar level position can be filled in for significant lower salaries costs. Cutting costs on personnel up to 50%.
Benefit: Working inside China, closer to your suppliers
Having Chinese employees within China means that you are working inside China, not outside. Direct communication with suppliers, sourcing resources on the local market, working within the office hours of your suppliers are direct benefits. You are more flexible and able to operate within China because of your local presence. Operational support and local support within China is directly available.
Benefit: Using local resources
When having personnel in Europe or USA, local resources in China would not be accessible. When replacing EU/US based purchasing personnel and use CIL’s operational infrastructure, you can benefit from local resources. Think about local shipping agents, HR facilities, warehousing, local law services and so on.
Benefit: No need to register office when using CIL
Hiring employee’s within China requires from you to open your own office by registering your local entity. The investments needed for registry and obligations when operating your office are for more SME’s not attractive. Therefore, CIL China offers the opportunity to use CIL China’s entity, office, infrastructures and warehouse within China as your office. CIL China provides the opportunity to hire employees registered on the CIL China entity. In this way, your company is not required to register your own office in China but still operating as your office and employee within China.
Which positions are interesting to relocate:
– Purchasing officer
– Purchasing manager
– Sourcing officer
– Sourcing manager
– Supply chain manager
– Product Quality inspector
– Q&A manager
– Product development manager
– Product designer
– Product engineer
Based on the above positions, the average costs saved on salaries, bonuses, social securities and taxes is 50% compared with the same functions and experience in Europe and the US.
Hire your own employees within CIL China. Contact us for more information.