Supply Market Analysis and Supplier Search in Asia for an Electronic Measuring Device Company

The client is a leading provider of thermal imaging cameras, sensors, and different measuring device globally. The company currently manufactures its products of innovative, quality handheld measurement and inspection tools in China, and would like to seek alternative manufacturers in Asia.

The client turned to ARC Consulting to investigate the supply market for their focused products of handheld meters. The focus of the project is to identify the most potential supply market in Asia and source strategic suppliers for long-term collaboration with the client. The study also gathered useful market information to support the future sourcing direction of the client.

Thermal imaging camera

The client’s sourcing activities had been centralized in China. However, recent anti-dumping duties of Chinese imports faced them with a challenge, posing the urgency to acquire supplier alternatives. ​​By expanding their operations other potential Asian markets, the client was able to reclaim their control over operations and cost advantage for the future. Having said that, ARC Consulting’s support came in handy, allowing the client to take advantage of our long-standing experience in Asian markets.

First, ARC Consulting mapped out and discussed the requirements and prerequisites for potential supply market and suppliers with the client. Accordingly, Asia Perspective team performed an extensive supplier screening assessment across Asia and recommended a list of countries that match the set criteria through multiple rounds. In parallel, ARC Consulting researched export tariffs from the target country to the client’s sales markets, indicating each market’s advantage from a costing perspective.

Second, ARC Consulting built a master list of suppliers based on its broad established network and internal database, gathering production, logistics, shipment data, and quotation from supplier candidates. To deepen the analysis input, the consultant team carried both extensive research and one-to-one meetings with supplier candidates.

Subsequently, a supplier evaluation and identification of the most suitable candidates were conducted, including cost analysis and business model alignment review. Suppliers that are not able to provide realistic offerings based on requirements and volumes were excluded from the list. Along the way, ARC Consulting followed up closely with chosen suppliers to ensure on-time responses for any technical concerns from the client.

In the end, ARC Consulting formulated the final report with compiled information and cost benchmarking. After being filtered with predefined criteria, the list of final candidates was recommended to the client.

In total, 98 suppliers had been screened, and 12 supplier were qualified for the Long List, which later participated in an RFQ (Request For Quotation) round. In the end, 04 suppliers were selected as primary recommended suppliers in the Short List, while 03 additional suppliers were referred to as the secondary choice.

ARC Consulting also suggested conducting introductory meetings between the client and short-listed suppliers, establishing a foundational understanding among stakeholders before the client conducts any potential next steps with chosen suppliers.

    Ready to talk to our experts?