Topic

Sourcing & lead time

A quote is a document you can read, and most of what drives the price is written between the lines. These notes cover how to compare quotes, what to ask a supplier, and how to plan a lead time that survives contact with production. 2 articles.

What this topic covers

  • Reading a quote - Setup against unit cost, scope assumptions, and how to compare two quotes that were not written against the same specification.
  • Supplier selection - What to ask before placing a first order, and which answers are a genuine signal rather than reassurance.
  • Lead time planning - Why lead time is a range rather than a number, and which risks can extend it at short notice.
  • Cost of the wrong choice - How a low price against a looser scope transfers risk back to the buyer, and when that is a conscious and acceptable trade.
Articles

All Sourcing & lead time articles

A supplier relationship is easier to manage when the specification is written down and the quote states its assumptions. Most of the difficulty in sourcing comes from ambiguity rather than from price.

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You get the price with its assumptions stated, priced at the quantity you actually need, plus any change that would reduce it.

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