Best cost country sourcing : optimising the value of conveyor belts for coal mining companies

• Main Author: Viljoen, Alida Maria
• Published: 2014
• Subjects: Industrial procurement; Coal mines and mining - Equipment and supplies; Conveying machinery
• Online Access: http://hdl.handle.net/10210/12462

M.Com. (Business Management) === Background Best cost country sourcing is a relatively new concept and not many organisations are utilising this specific process nor are they optimising this as their sourcing strategy. Best cost country sourcing is one of the most profound sourcing processes available, and it has the ability to increase an organisation’s efficiency and effectiveness if implemented correctly. Purpose The purpose of this study is to determine if best cost country sourcing should be used as an alternative to local sourcing. It includes aspects of the best cost country sourcing process as well as its risks and advantages. Research method The dissertation analyses the process of best cost country sourcing and the effect it has on an organisation’s sourcing strategy. To achieve this understanding it is necessary to do a qualitative investigation, which is the reason a qualitative research was used as the research methodology in this dissertation. Conclusion Pursuing the process of best cost country sourcing requires a lot of dedication and implementation time. It is a complicated process and no two situations will be alike. Each organisation would need to determine the advantages, risks and challenges which they will encounter with best cost country sourcing. Organisations would also need to determine the best cost countries, as well as the criteria they would need to use in selecting potential suppliers.