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HELP US PROCURE ARTISAN RESOURCES

We intend to simplify the process of raw material procurement for artisans around the world. There is considerable lack of connectivity between rural areas and markets that house raw and semi-finished goods used for production of handmade crafts.

Current Crafts Situation

The traditional raw materials used by artisans are not widely available now due to the breakdown of close linkages between artisanal castes and village communities that specialize in their production. Between this and increased competition from organized industry, artisans now find it to be a bigger challenge than ever to access quality raw materials at affordable prices.

India, Gujarat, Kutch, Ahir ethnic group

There are little to no raw material banks that could offer them supplies to ensure continued production in times of low or no agricultural produce. This forces artisans to remain without work during off seasons. They are often forced to rely on local traders who provide them with raw materials at high prices or switch to non-traditional raw materials that compromise their quality of goods.

Costs of Procurement & Supply Chain Logistics

There is much more to procuring raw materials than just a buying decision and therefore, it calls for understanding different costs involved.

  • Cost of raw materials
  • Inventory expenses & heating apparatuses
  • Interest
  • Extra manpower
  • Insurance
  • Taxes and tariffs
  • Inbound & outbound transportation expenses
  • Freight fees
  • Third-party warehousing and handling cost
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All this can be made easy and the money saved here will be assigned to other important aspects of their business such as operational efficiency implementation, marketing and promotions and human resources management.

What We Aim To Achieve

  • Supplying the right quality production material at the right time and at the right place is necessary to ensure quality production.

 

  • Industry experts say that 45%-65% of sales revenue is spent on procurement of raw materials. Thus reducing the procurement cost by even 1% would result in considerable savings for artisans.

 

  • Managing raw material acquisitions can be done systematically by generating enough funds. Our associate NGOs would be able to set clear administrative processes to outline buying rules and lower costs.

 

  • By supporting this cause you can ensure that artisans can seek expert guidance and services in conducting a spending analysis to continue on the path of growth.

 

  • Reducing supply complexity to ensure continuous production; encouraging purchase of standardized parts and goods (instead of customized ones) to control costs.

 

  • You can help them establish strategic partnerships with select vendors. This makes procurement of raw materials easier, saves time and resources and artisans gain better bargaining power.

 

  • Evaluating suppliers regularly contributes to product performance; concepts such as just-in-time delivery, consignment inventory and quality of service ensure a better purchase function.
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