Why Hotel and Motel Project Managers/Owners need a Sourcing Company
One of the biggest challenges that hotel/motel owners and project managers face, is building, or renovating a property within a budget. Everything from labor and equipment to materials, furniture and décor can cost excessive amounts of money, which is why many of them turn to overseas sourcing for lower-cost products.
Sourcing goods and material from international suppliers definitely offers the benefit of procuring high-quality goods at pocket-friendly prices, but it comes with its own set of headaches too.
Finding products and vendors, communicating and coordinating with suppliers based thousands of miles away – all of this adds up to a time-consuming process that requires great effort, taking you away from the planning and execution of your dream project as well as the day-to-day running of your hotel or motel.
How Can Sourcing Companies Assist with the Process?
Sourcing companies, also known as procurement specialists, are adept at dealing with overseas suppliers on behalf of their clients. In a nutshell, they take on the headaches of the sourcing process, allowing buyers to enjoy peace of mind and freeing up valuable time they can use to handle business (instead of using it to deal with vendors).
Here’s a step-by-step breakdown of how the services provided by a sourcing company can make your product procurement process smoother and more hassle-free:
- Understanding Your Requirements – Representatives from the sourcing company work hand-in-hand with you to understand what you need in order to complete your hotel/motel renovation or building.
Whether you want the latest in decorative lighting, contemporary furniture, sculpture or framed art for the walls and rooms, they will make note of your preferences and requirements. This allows them to locate suppliers who can deliver what you need.
- Sourcing Process – A sourcing company will look for manufacturers and vendors who offer the products you need, conducting quality, background and reputation checks to ensure that suppliers are reliable, as well as help you procure samples if needed.
Many sourcing companies also have a database of experienced sellers that offer quality goods and services, and can make suggestions based on what you wish to buy. This saves a lot of time, especially if you’re already clear about what you need.
- Trip Co-Ordination – In case you wish to plan a sourcing trip to check out different suppliers and their offerings or local markets in person, an overseas sourcing company can help you make the necessary arrangements.
Since they have a physical presence in the country you’re planning to visit, they can assist you with everything from booking your tickets and hotel reservations to suggestions about what time of the year you should pick for your trip.
- Quality Control – Once you’ve decided which suppliers to buy from (or shortlisted potential ones), the sourcing company can help you ensure that quality requirements are adhered to. They can also help you with drafting and signing a sales agreement with the supplier.
This stage covers everything from audits during manufacturing, checking equipment and material on-site, random sample checks from production batches, etc. If you need to conduct lab tests for materials or any special quality checks, they can help you locate independent third-party auditors for the task.
- Consolidation of Materials & Planning for Export – Once the production of your order is complete, the sourcing company can ensure that goods are consolidated and prepared for export.
Consolidation of materials allows them to pick the most cost-effective shipping method, in addition to the safest one. At this stage, the company also checks to ensure that high-quality export packaging is used, and any applicable labelling, shipping or packaging regulations are taken into account.
- Loading of Materials – Once the shipment is ready for export, the sourcing company checks to ensure that goods are loaded properly in shipping containers and that export and customs documentation is all in place.
Depending on whether your order is being shipped by air, land or sea, they will make certain that loading is done in a manner that ensures the greatest safety and efficient use of space. Proper container planning and management plays a huge role in reducing damage caused during transit, after all.
- Delivery – The sourcing company will help you track the course of your goods, and provide you with the container number and other codes of reference along with the details of shipping lines and other documents.
When your shipment arrives at the local port, they prepare for the customs check and unloading of your order, which will then be delivered right to the project site. In case of any discrepancies, delays or other issues, the sourcing company will interact with the supplier and shipping company on your behalf.
A sourcing company can also get you extensive access to local contacts, supplier references and more – practically everything you need to successfully source materials for your big build!