Sourcing Supplier: Indonesian Handicraft

One of our initial projects was a supplier sourcing initiated by the European-based gift and souvenir brand looking to expand its product lineup through new and reliable Indonesian suppliers. The client’s primary goal was to identify trusted manufacturers capable of delivering high-quality products at competitive prices (The total book value was close to USD $500.000), while ensuring smooth communication and efficient delivery timelines. However, sourcing across Indonesia presented significant challenges — from verifying supplier credibility and consistency to bridging language and distance barriers in a diverse manufacturing landscape.

To address these challenges, the project began with a detailed kick-off meeting to clarify the client’s product specifications, preferred materials, target pricing, and expectations. A comprehensive sourcing brief was developed to serve as a reference for supplier evaluation and communication. This groundwork ensured that both sides were fully aligned on objectives and deliverables before execution began.

The next stage focused on market and supplier research, leveraging local networks, trade directories, and online B2B platforms to identify more than twenty potential suppliers across Java, Bali, and Sumatra. Each candidate was evaluated based on experience, certification, sample quality, production capacity, minimum order quantity, and payment terms. To overcome communication hurdles, bilingual outreach messages were drafted in both English and Bahasa Indonesia, facilitating smooth interaction with local vendors through email, WhatsApp, and phone calls. These efforts not only helped build trust but also allowed for effective negotiation of pricing and terms.

Following the initial outreach, the most promising suppliers were invited to send product samples for physical inspection. The evaluation process involved assessing material quality, craftsmanship, durability, and packaging, supported by detailed photography and measurement reports. After reviewing the samples together with the client, the top three vendors were shortlisted for final consideration. This rigorous process ensured that only suppliers who met the brand’s aesthetic and quality standards advanced to the final stage.

A comprehensive sourcing report was then created to summarize findings and recommendations. The report, delivered through Google Sheets and Slides, included vendor profiles, cost comparisons, sample photos, risk assessments, and overall rankings. This structured documentation provided full transparency and allowed the client to make confident, data-driven decisions. A final review call was conducted to walk the client through the report and discuss next steps for order placement.

The project concluded with a successful onboarding of the selected supplier and coordination of the first pilot order. Through hands-on communication and negotiation support, the supplier delivered high-quality products at a cost 15–20% below the client’s initial benchmark. The total completion time of the project is around 6 months and the client reduced the reduced procurement risks. In the meantime, we also established strong, ongoing supplier relationships, giving the client a reliable foundation for future sourcing in Indonesia.

Several key factors contributed to the success of this project. Local expertise played a crucial role in bridging cultural and communication gaps, while a structured workflow ensured accountability and clarity at each stage. Consistent updates and transparent documentation built trust between all parties, and the decision to start with small pilot orders proved invaluable in minimizing potential risks.

Ultimately, the project achieved all of its goals: reliable supplier identification, improved cost efficiency, and a sustainable sourcing framework for long-term collaboration. The client expressed high satisfaction with the thoroughness and professionalism of the process, leading to further cooperation for upcoming sourcing initiatives. This project stands as a strong example of how local knowledge, clear communication, and structured methodology can transform an international sourcing challenge into a long-term business success.