How to avoid your China agent or QC get commission from your suppliers?

How to avoid your China agent or QC get commission from your suppliers?

At present, many American companies hire quality inspectors or purchasing managers in China for better operation, better cost control and better quality control, which is originally a very good policy, but they don't know that their Chinese quality inspectors or purchasing agents will extract commissions from suppliers. There are many ways to extract commissions from suppliers. This is already the tacit understanding between suppliers and quality inspectors or purchasing agents.

Where does the commission come from? The supplier can't reduce the profit and then give the commission. It must add the commission to the price and then give the quotation to the customer! This causes the customer to actually add more costs!

Because quality inspectors and purchasing agents are deeply trusted by American companies, they will have no fear to ask suppliers to pay more commission. Because quality inspectors or purchasing agents control the direction of orders, they can influence American companies to place orders to other suppliers for production! In order to win more orders, many suppliers can only accept the requirements of quality inspectors or purchasing agents.

Moreover, because quality inspectors or purchasing agents are deeply trusted by American companies, many American companies will ask quality inspectors or purchasing agents to investigate the new suppliers to ensure the authenticity of the factories if they want to cooperate with new suppliers. However, because the new supplier does not know how the quality inspector or purchasing agent works with other factories, or the new supplier is not allowed to have commission to the quality inspector or purchasing agent, the quality inspector or purchasing agent will make fake factory inspection reports to the American company, and the American company deeply trusts their quality inspector or purchasing agent, resulting in the American company missing many good suppliers.

Originally, the purpose of setting up Chinese quality inspectors or purchasing agents is to better develop American companies, better control costs, and better and effective communication with suppliers. As a result, many American companies do not know the commission agreement between their quality inspectors and purchasing agents and suppliers, which actually leads to an increase in the cost of customers.

MSI STONE is very well controlled by this problem, they have some policies in place to prevent their purchasing managers from taking commissions from Chinese suppliers, before working with MSI STONE, MSI STONE will make their suppliers sign an agreement that they can report their employees if they are taking commissions.

In order to provide customers with better service and better price, Superior resolutely resists the customer's quality inspector and purchasing agent to charge us commission. Charging commission or giving commission breaks the way of cooperation between customers and suppliers, which is not a normal way of cooperation. U.S. companies should also designate policies to prevent your inspectors and purchasing agents from charging commissions to suppliers. Let the business can better continue!