Scanpan A/S Establish Own Set-Up In Shanghai
Three years ago the kitchen cookware manufacturer Scanpan A/S was looking for new sourcing opportunities in China. The company searched for a set-up which could function as a platform from where they could build up a well structured supply-chain. The management team from Scanpan A/S got in contact with another Danish company who made use of DI-Asia Base’s (DIAB) “Own Man In China”(OMIC) concept. It didn’t take long before Scanpan A/S was convinced that DIAB’s OMIC concept was the right choice for their initial set-up in China. After being hosted by DIAB for a period, Scanpan A/S was ready to establish a wholly owned foreign enterprise. The company has recently made an exit from DIAB into their own office facility in Shanghai from where they will develop their activities further in China.
The need for a well-structured supply-chain
Scanpan A/S is a high-technology manufacturer, producing innovative and functional kitchen cookware. The company started its export business in the early 80’s and it now comprises more than 75% of the total turnover of the business. With an increasing number of orders, Scanpan A/S needed to build up a reliable and well-structured supply-chain. Since the company already had some sourcing activities in China, it was decided to develop their supply-chain further in China.
The concept “Own Man In China” fulfilled what we needed
“What we needed was a platform from where we could build up a well-structured supply-chain with low costs and minimal risk. It was important for us to ensure a well-coordinated approach, where cost-efficiency and cooperation are key parameters. DIAB’s OMIC concept has lived up 100 percent to what we needed”, says Jesper Hougaard Brund of Scanpan A/S.
The concept OMIC is a business solution that guides your company through the early phases of an establishment in China. It is a highly efficient but low-cost alternative to other establishment options and it is particularly designed to fit the needs of small and medium-sized Danish enterprises. DIAB offers to recruit, administrate, and coach a local representative on your behalf, thus providing you with a safe and efficient environment in which to develop business activities in China.
According to Jesper Hougaard Brund, DIAB was always at the forefront of Scanpan’s challenges. They gave the management team at Scanpan A/S guidance and valuable support in many situations. “We have been extremely satisfied with DIAB’s OMIC concept”, says Jesper Hougaard Brund.
From 1 to 2 OMIC’s
The first employee was recruited through a thorough recruitment process carried out by DIAB. An employee with strong sourcing background was selected for the position and he took up the responsibilities of identifying new suppliers, coordinating with existing suppliers, and conducting quality control. After Scanpan’s business developed further it was decided to hire an additional employee in the beginning of 2008.
Scanpan A/S has recently moved into their own office facilities in Shanghai, from where they now have three employees working with sourcing and quality control. Starting up a local company in China can be a process which can take up many resources. Therefore Scanpan A/S has decided to make use of DIAB’s administration support until their new set-up is up running on full speed.
26 February 2009