Sourcing Project Management is Important

POSTED ON August 23, 2021

Sourcing Project management is the application of processes, methods, skills, knowledge and experience to achieve specific project objectives according to the project acceptance criteria within agreed parameters. Project management has final deliverables that are constrained to a finite timescale and budget.

Importers and manufacturers face unique challenges, and utilizing the right sourcing project management tools can help create better plans, control processes, manage risks and quantify success. More importantly, it enables more effective collaboration between different teams and across different suppliers.

When you source from China, you often work with a sourcing agent that you find online. Most of them won’t have any project management training or knowledge, or understand what it takes to run a project successfully. It is in your best interest to look for a sourcing agent in China who is an experienced and certified project manager as well. This is particularly important in case your project involves new product development, you need to source a number of products from different suppliers, your order quantity is huge or you need a team on ground for better coordination.

Remember, manufacturing is not only about raw materials and labour, it involves different teams of individuals and stakeholders with varied skills and talents. You need a dedicated project manager to ensure smooth coordination among different entities. Some of the key reasons why project management is important include:

  1. Helps define a realistic plan: When you outsource your manufacturing to another country, there are so many factors and variables involved that things can quickly become chaotic unless you have a solid plan in place. A project manager can lay out a clear path right from the beginning to the end to ensure that the project is completed to perfection.
  2. Provides clear focus and objectives: With project management, there is a plan for executing the organization’s strategic goals. The focus is clear and this helps steer the project towards timely and successful completion.
  3. Creates a proper schedule: Without a written schedule of events, there are high chances of delays and cost overruns. Project management focuses on establishing a sound schedule to ensure successful project completion.
  4. Better coordination among team members: Project management encourages collaboration and coordination between different stakeholders. This ensures the efficient running of the project.
  5. Efficient utilization of the available resources: When it comes to projects, resources are always expensive whether it is labor, raw material or technology. Project management principles and techniques help utilize all resources efficiently.
  6. Keeps costs under check: Project management strategies help keep costs in check. When importing from another country, cost overruns are a very common problem. This often happens due to poor planning and management.
  7. Better integration: Sourcing projects can be very complex involving a lot of different stakeholders. There are different organizations, business processes and systems that need integration. Project management helps manage integration efficiently across organizations.
  8. Risk management: Project management methodologies help flag the risks well in advance so you know the warning signs you must keep an eye on. These warning signs may include missing a major deadline that can affect the entire project schedule. Defining the risks in advance and then watching out for them ensures that you identify the problem before it turns into a major disaster.
  9. Quality assurance: Quality control is one of the biggest concerns of anyone who decides to go for new product development in another country. It becomes an even bigger concern when you do not have a local team to oversee production and quality control. Project management identifies, manages and also controls quality. With a clear focus on quality and proper checks in place, quality is assured.
  10. Peace of mind: The biggest thing you get from professional project management is peace of mind. It ensures that you are in control of everything that is going on and you are keeping complete track of the progress. There is an assurance that there will be no last-minute surprises such as delays, quality issues or cost overruns. You can stay focussed on other aspects of your business while your project is being managed by a professional.

If you are planning new product development in China and looking to have a virtual sourcing project management office, we can help. We are a team of experienced sourcing experts headed by a PMP-certified project manager. We not only help our clients source products from China, but we also help with new product development, supply chain management and sourcing project management. Please get in touch with our team now to discuss your China sourcing needs.