your trade connection with india t&a trade solutions pvt ltd business with india starts here…
TRANSCRIPT
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Your Trade Connection with India
www.insideindiatrade.com
T&A TRADE SOLUTIONS PVT LTD
Business with India
Starts Here….
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To implement procurement solutions for Small and Medium Enterprises aiming to source goods from India.
and
To provide consulting and operational support for Small and Medium Enterprises proposing to sell to the Indian market.
Business ObjectivesBusiness Objectives
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Lets Step BackLets Step Back – – & see how & why we derive at these objectives& see how & why we derive at these objectives
We begin withWe begin with
INCREDIBLE INCREDIBLE INDIAINDIA
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Real IndiaReal India
In the slow lane!! The latest Delhi Metro
Mom and Pop Stores New shopping malls
Anything you say about India is going to be true and ………….
The opposite is also going to be true
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India Is A Land of ContrastsIndia Is A Land of Contrasts
Ancient Hindu temple Modern office complex
Poverty in the slums New high rise apartments
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The Modern & Future of IndiaThe Modern & Future of India
New industrial areas Small industrial units with goods technical skills
Focus on education The Young India
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FAC
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India Key FactsIndia Key Facts
India - Country ProfileIndia - Country Profile
10 the largest economy in the world. 4th in terms of PPP. Will overtake Japan in PPP terms by 2010, to be the 3rd largest
Average annual growth rates (1995-2005)GDP : 6.5% per annumServices : 7.8% per annumIndustry : 6.6% per annum
Competitive manufacturing sector with a low cost base, huge skill set and a “can do” attitude
India is making an impact as an exporter especially in garments,
footwear, auto components, engineering goods and software.
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Challenges of SourcingChallenges of Sourcing
Challenge in determining the right sourcing strategy
Challenge in evaluating and training foreign suppliers
Challenge in maintaining consistent quality
Challenge in maintaining sourcing infrastructure in foreign
country
Challenge in facing infrastructure and bureaucratic
bottlenecks
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Challenges In IndiaChallenges In India
Business IssuesBusiness Issues
Lack of awareness to Western Business Environment(Mismatch of expectations, working on different standards )
Transactional rather than Relationship approach(Focus on short term gains, quick profits and lack of consistency)
Ambiguous Communication(Not all cards on table, over reliance on verbal communication)
Things happen when they happen (Bureaucracy, paperwork, infrastructure and corruption)
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Challenges In IndiaChallenges In India
Cultural IssuesCultural Issues
“No problem” approach (What you want to hear rather than what you should hear)
“Chalta Hai” – It will do(Scant attention to detail)
Indian Stretchable Time(Missed timelines, disruption to schedules)
ASAP approach – Unplanned Action (Fail to prepare and Prepare to fail)
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Our focus on ACTUAL TOTAL COSTOur focus on ACTUAL TOTAL COST
Whether buying or selling, price is only a part of the actual total cost.
Costs of quality including consistency, maintenance, disposal, and environmental factors, and costs of the transaction including buying resources, effort, time, payment terms, and renegotiations must be considered when assessing or comparing actual total cost of propositions, products or
services.
transactioncost of acquisition including buying resources, effort,
time, and payment terms
valuecost of quality
including consistency maintenance, disposal, and
environmental costs
pricebasic cost of product or
service
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Managing The Supply Chain in IndiaManaging The Supply Chain in India
FindTradingPartner
FindTradingPartner
Offer/AcceptOffer/
Accept
AssessCredit
AssessCredit
Contracts/Purchase
Order
Contracts/Purchase
Order
LogisticsLogisticsPay /SettlePay /Settle
FindTradingPartner
FindTradingPartner
Bid/Selection
Bid/Selection
ObtainCredit
ObtainCredit
Contracts/Purchase
Order
Contracts/Purchase
Order
LogisticsLogisticsPay /SettlePay /Settle
BankBank
BuyerBuyer
SellerSeller
MarketMarketMarketMarket ProcurementProcurementProcurementProcurement SettlementSettlementSettlementSettlement
BankBank
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Key BenefitsKey Benefits
Supplier Discovery
Benefits of Aggregation
Process efficiencies
•Faster response times for demand variability•Faster speed to market for product innovations•Reduction of Administrative cost of purchase: 20 – 30%•Cycle time reduction: 30-40%
•Leverage buying power of group•Reduction in product cost: 5-17%•Price Discovery (Discover new price points through local presence in the marketplace
Reduction in working capital through inventory reduction: 25-35%
Reduction in maverick buying
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Code of Conduct for all stakeholdersCode of Conduct for all stakeholders
• No Forced Labor
• No Child Labor
• Nondiscrimination in employment
• Compliance with local Health and Safety regulations
• Fair Wages and Benefits
• Compliance with Environmental Regulations
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Thank youThank you
Contact us
T&A Trade Solutions Private LimitedY-36, Okhla Industrial Area Phase II New Delhi 110020, IndiaTel : +91 (0) 11 41709326Fax: +91 (0) 11 40516560
Email: [email protected]: www.insideindiatrade.com