Strategic Resiliency Sourcing: Creating a Less China-Dependent Supply Chain

Given the significant financial benefits of an optimized supply chain, it almost always makes sense to supplement the organization with external experts and leverage sourcing technology.


The importance of strategic sourcing, in general, was underscored by globalization, China’s entry into the WTO, NAFTA, private equity’s unrelenting focus on efficiency and the dramatic growth in outsourcing. A lot of shareholder value was created and the industry got used to the savings.


The first inkling of things to come may have been the 2018 China tariffs. Sudden and drastic supply chain shifts resulted in selected industries as buyers moved production across Asia in a matter of months. It resembled a mad game of “musical chairs,” as producers competed to secure scarce non-China manufacturing capacity all over Asia, but it proved that it could be done.



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