josé bascon: exploring the potential of purchasing synergies
DESCRIPTION
Developing Coop2Coop Trade. José Bascon, CGS at the International Co-operative Alliance Global Conference in Cape Town, November 2013.TRANSCRIPT
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
Member of ICA
contact: [email protected]@coopgs.com
Cape Town, 1st - 5th November 2013
Synergies among consumer Co-operatives
COOPCOOPGLOBALGLOBAL
SOURCINGSOURCING
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
An extraordinary opportunity for Consumer Cooperatives
Coop Global Sourcing• Activity of Coop GS
CGS History and Evolution• Coop Global Sourcing in Asia• New Organization
Cooperative movement and business development• Our experience and vision on business among Co-operatives• Opportunities
2Content of documentContent of document
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
3The importance to be hereThe importance to be here• Consumer cooperatives, have a big responsibility • Employing millions of people, representing millions of members• Supporting the spending power of dens of millions of households
SynergySynergy
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
4The second retailer in the worldThe second retailer in the world
Turnover 2010, Billion USD
*
*
*
*
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Retailers
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*
*
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* 2009 Corporate Annual Report, Exchange rate used: Euro 1=USD 1.37; £ 1=1.54 USD** 2008 Global 300 Cooperatives, report by International Cooperative Alliance (ICA)
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
5Speaking the same languageSpeaking the same language
Core Values
across the countries and different businesses
Part of the DNA
Corporate philanthropyPerpetrating a marketing purpose
Profit
COOPCOOP CorporationsCorporations
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
6The future is not what it used to beThe future is not what it used to be
On line Shopping
Global retailers
Standardized needs
Demand for low price
Business Consolidation
Recipe for the futureRecipe for the future
Common
platform on
communication
ChallengesChallenges
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
7A base in AsiaA base in Asia
• Asia remains the world factory delivering competitive
prices and technologies
It’s a strategic advantage to have a purchasing base in Asia dedicated to the co-operatives
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
An extraordinary opportunity for Consumer Cooperatives
Coop Global Sourcing• Activity of Coop GS
CGS History and Evolution• Coop Global Sourcing in Asia• New Organization
Cooperative movement and business development• Our experience and vision on business among Co-operatives• Opportunities
8Content of documentContent of document
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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Coop Global Sourcingis a Purchasing Organization
Activity of COOP GLOBAL SOURCING
Activity of COOP GLOBAL SOURCING
Sourcing and productsfor consumer Cooperatives
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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• Market leader in Italy• 13.5 billion Euro turnover• 1500 stores• 6 million members• 60 thousand employees
• Nr 4 in Spanish market• 8 billion Euro turnover• 2300 stores•3 million members• 45 thousand employees
COOP ITALIA
Activity of COOP GLOBAL SOURCING
Activity of COOP GLOBAL SOURCING
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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Sourcing products for COOPSourcing products for COOP
• Kitchen tools
• Homeware
• Do It yourself
• Garden
products
• Furniture
• Toys
• Electronics
• Home
Appliances
• Garments
• Underwear
• Nightwear
• Footwear
• Canned food
• Coffee
•Oil
• Other
Commodities
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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ELECTRONIC
SDA Brown goods Accessories
HOUSEWARE
KITCHEN HOUSEHOLD H TEXTILE
DIY Garden Car
DIY-GARDEN
Fitness Toys Stationery
LEISURE
Sourcing products for COOP
Sourcing products for COOP HARDLINESHARDLINES
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Sourcing products for COOP
Sourcing products for COOP TEXTILETEXTILE
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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Top 10 items from ASIA
Sourcing products for COOP
Sourcing products for COOP FOODFOOD
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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Sourcing ModeSourcing Mode
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
Ship PackQualityAssurance
Supplierqualification
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Sourcing
Technical audit• Assess factory capability
Social responsibility• Compliance with social standards
Quality Engineers• Testing• Inspections
Supply Chain• Follow up• Shipment
Packaging team• Artwork development
Commercial• 50 people merchandising team
How we do businessHow we do business
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
An extraordinary opportunity for Consumer Cooperatives
Coop Global Sourcing• Activity of Coop GS
CGS History and Evolution• Coop Global Sourcing in Asia• New Organization
Cooperative movement and business development• Our experience and vision on business among Co-operatives• Opportunities
17
Content of documentContent of document
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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1978-2000 2000-2012 2013
History of COOP GLOBAL SOURCING
History of COOP GLOBAL SOURCING
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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~ 18 million members~ 200K employees~ 9.000 stores~ 40 billion € turnover
Denmark
Norway
SwedenFinland
Italia
1978-20121978-2012
History of COOP GLOBAL SOURCING
History of COOP GLOBAL SOURCING
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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~ 8 million members~ 100K employees~ 9.000 stores~ 20 billion € turnover
Italia
20132013Disaggregation of the Nordic cooperatives
History of COOP GLOBAL SOURCING
History of COOP GLOBAL SOURCING
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CGS Team
70% 30%
Merchandisers 25
CategoryManagers 7
Assistants 3
QualityQASC*
9
Shanghai
25-30 30-35 >35
Age group
Buying office/Retailers 100%
Demographics
Expertises
Team
60% 20% 20%
Gender
60% 40%Experience EU market
Experience other markets
<5 5-10 >10
30% 50% 20%
Years experience
* SC also covering Textile Dept21
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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• We source products allover Asia, with 4 direct offices
Shanghai
Hong Kong
Vietnam
Bangladesh
North India
South India
Pakistan
COOP GLOBAL SOURCING OfficesCOOP GLOBAL SOURCING Offices
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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New Status New Shanghai company status
From Representative Office to Trade company including import and export license for Food and NF
From March 2013 member of ICA, International Cooperative Association
Content of documentContent of document
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
An extraordinary opportunity for Consumer Cooperatives
Coop Global Sourcing• Activity of Coop GS
CGS History and Evolution• Coop Global Sourcing in Asia• New Organization
Cooperative movement and business development• Our experience and vision on business among Co-operatives• Opportunities
24
Content of documentContent of document
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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• Although we share the same values, it is difficult for cooperatives to cooperate at the commercial level
•The retail industry has seen the growth of Global Retailers, but we tend to split rather than be united
• Cooperative retailers are still winners in the Global landscape, maintaining distinctive tracts
• There is a common ground that could bring huge benefits in terms of savings and strength in the market
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Our experience in business Cooperation
Our experience in business Cooperation
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Czech Republic Netherlands
Denmark
• Co-operatives represent an enormous network of enterprises operating under the same values
A tremendous potentialA tremendous potential
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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VALUES BUSINESS
Co
op
erat
ive
Dn
aILLUSTRATIVE
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2
3
4
5
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7
8
9
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• Global retailer s are often in the opposite situation
• Tending to maximize the synergies on volumes
Contradiction of COOP retailersContradiction of COOP retailers
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
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• Understanding that there is a business synergy to be explored, to bring benefits to the cooperative and its members
• Contribution that an sourcing company dedicated to Coop, operating in Asia for 30 years, can bring to other cooperatives
• Set a concrete plan to study business cooperation
What we expect from this meetingWhat we expect from this meeting
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11F, Nikos Plaza, 528, Honxu RdShanghai, Chinawww.coopgs.com
Member of ICA
contact: [email protected]@coopgs.com
Cape Town, 1st - 5th November 2013
Synergies among consumer Co-operatives
THANK YOU!THANK YOU!