Global sourcing in times of COVID-19 : commodities and benefits

Author(s): Gerritsen, Marinus Thijs (2020)

Abstract:
COVID-19 is questioning the benefits of global sourcing/remote sourcing as companies may face supply disruptions. This study investigates which type of goods are sourced intercontinental and in which industry this happens the most. Besides, and maybe more important, the expectations and benefits of global sourcing for the purchasing companies are investigated. Data was obtained by interviewing purchasing managers from fifteen different companies of varying sizes and from different industries. The research was qualitative by nature and conclusions are drawn according to this sample of fifteen companies. In line with the expectations, the price benefit was the most prolific motive for companies to source intercontinental. In regard to the types of goods and industries it is difficult to state a reliable conclusion. The most sourced type of goods are mostly intermediate or unfinished products whereas the responding industries are quite different, and it is unclear to state which global sources the most.

Document(s):

Gerritsen_BA_BMS.pdf