Last week, the Associated Press picked up on an interesting procurement story: the Girl Scouts of the USA were seeking bids for the uniforms they currently buy from an American supplier in New Jersey. Among the four bidders invited to participate, two were from outside the USA including one from China.<\/p>\n
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The fact that an organization is evaluating all of its global sourcing options isn\u2019t exactly what I consider controversial news \u2013 outsourcing to China has been going on for decades and became mainstream practice at least 10 years ago \u2013 it has certainly gotten some attention in the media and among political leaders. US Congressman Bill Pascrell (D-NJ) wrote a passionate plea to the President of the Girl Scouts, saying that he is dismayed that the Girl Scouts \u201cwould even think of moving their business from a family-run and veteran-owned small business in New Jersey to China.\u201d Should the work be offshored, Congressman Pascrell calims that it will cost the US some 90 jobs.<\/p>\n
Though the media and political leaders are practically characterizing the Girl Scouts\u2019 sourcing initiative as villainous, the Girl Scouts are defending their actions as \u201cgood business practices.\u201d The Girl Scouts\u2019 Vice President and General Manager of Merchandise, Barry Horowitz, was quoted as saying, \u201cLike any manufacturer who uses fabric, we have an obligation to deliver the best value to our members and their parents. We can\u2019t know if we\u2019re doing that unless we test the market.\u201d<\/p>\n
It\u2019s really hard to argue with that logic. However, amidst his incredulous expressions of emotion in his letter, Congressman Pascrell does actually touch on a couple of important issues.<\/p>\n
First, he notes that he was told by the incumbent supplier, Jackie Evans, Inc., \u201cthat they have never missed a delivery deadline.\u201d He goes on to stress that lower prices may come as a trade-off for lower quality and suspect social responsibility, writing that \u201cour American Girl Scouts could soon be wearing uniforms made abroad in part by young girls who would be deemed not old enough to work in the United States.\u201d He advises the Girl Scouts to \u201cconsider factors other than just simply the bottom line cost of production.\u201d<\/p>\n
All very valid points and surprising coming from a politician (sorry, I\u2019m a little bit jaded when it comes to our elected leaders). But in the Congressman\u2019s words, you will find criteria that should be considered in every supplier selection: quality and delivery performance and social responsibility right alongside cost.<\/p>\n
The Girl Scouts claim to recognize this with Horowitz saying \u201cWe have a strict arrangement with vendors that they need to ensure that all appropriate laws are adhered to\u2026We\u2019re very rigid about who does our work.\u201d That, I\u2019m not convinced of. Someone from Mattel probably said the same thing prior to that big lead-painted toys scandal of a few years ago.<\/p>\n
If the Girl Scouts select a Chinese supplier, will they conduct periodic, surprise on-site audits to confirm compliance with their supplier code of conduct? Or will they just give the supplier the rules and trust that they will be complied with like so many other organizations ill-advisedly do?<\/p>\n
It sounds like we\u2019ll find out soon as the Girl Scouts expect to complete this sourcing process by the end of the year.<\/p>\n","protected":false},"excerpt":{"rendered":"
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