Hi Jack,
The authors of "Toy Recalls: Is China Really the Problem?" (Canada Asia Commentary) did a great job of fixing the blame but I think they let management off too easily.
At this point in the outsourcing game we’re all aware of the danger of using "intermediaries and agents" and we know that "standards of developing counties may not be acceptable to a developed country."
Despite this, upper management turns a blind eye to demands from their own sourcing departments for unrealistic price concessions and givebacks in the name of "competition." The eventual outcome of these "negotiations" often leads buyers to places where suppliers can survive only by cheating.
Unfortunately, only when recalls sufficiently affect the bottom line will management practices change to include an ethical accountability throughout the "global supply chain," including their own offices.
Keep up the great work and have a great Thanksgiving!
Scott Rossiter
Chairman of the Board
Lampin Corporation
