Global Sourcing

  • Syed Abdul Rehman Khan
  • Zhang Yu
Part of the EAI/Springer Innovations in Communication and Computing book series (EAISICC)


International purchases of components, materials, services and finished products will continue to grow. Due to that, supply management staff at all levels must be more and more familiar with the nuances of global/worldwide sourcing. Despite many companies would prefer to buy from nearest countries (geographically close), it is not possible every time. Companies operating in competitive industries must buy from the best sources available in the world. Developing these sources demands continual monitoring of both country trend and supply market. Currently, many companies prefer to source from India or China. Less publicized but just as important is low-cost country sourcing rising in Eastern Europe. Of course, globalization will carry on and continue to be a major force that requires assessment on a firm-by-firm basis. Once the assessment is completed, management of supply must respond with an effective global strategy.


Quality Supply base rationalization Process capability Supplier quality Countertrade Integrated supply Preferred supplier Entry qualifiers Vendor managed inventory (VMI) Barter Buy-back Global sourcing Forward exchange contracts Counter purchase Incoterms Hedging Worldwide sourcing Letter of credit (LC) 


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Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  • Syed Abdul Rehman Khan
    • 1
  • Zhang Yu
    • 2
  1. 1.School of Economics and ManagementTsinghua UniversityBeijingChina
  2. 2.School of Economics and ManagementChang’an UniversityXi’anChina

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