Outsourcing,Structural,Steel,F business, insurance Outsourcing Structural Steel Fabrication to Turkey Offers Mu


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Structuralsteel provides the strength needed for components within bridges, high-risebuildings, damns, and other large construction projects.  The reliability, quality and efficient designof the steel components is of the utmost importance.  Therefore, selecting the right subcontractorfor the fabrication of the steel receives much attention.  At the same time, outsourcing is becoming arequirement to meet strict budget constraints. With so many countries in the world offering structural steelfabrication, it can be difficult to determine which low cost countries serve asthe best source of reliable subcontracting partners.  The primary low cost countries offering largenumbers of structural steel fabrication facilities include China, India, Brazil,and Turkey.  Each country offers veryunique experiences when carrying out transactions related to structuralsteel.  The cultural norms, businessstyles and political characteristics of each nation must be taken into accountwhen selecting a structural steel subcontractor. Chinatypically stands out as the lowest cost supplier of structural steel in theworld.  Many purchasing managers quicklyaccept offers for fabrication services from Chinese suppliers simply based onthe initial price offerings.  However,leading international business scholars have noted that Chinese steelfabricators are infamous for adding “hidden costs” to projects.  The large number of differences betweenChinese and Western business ethics and norms cannot be discussed here, but itcan be said that it leads to much frustration and wasted time when negotiatingcontracts.   Furthermore, the Chinese donot have the same cultural outlook toward intellectual property as Westernsocieties.  All engineering drawings andproprietary company information is available to the government, regardless ofthe confidentiality agreements made between the Chinese and Western companies.  If a company does not want its steelfabrication designs to be copied, it should not be manufactured in China. India isalso a popular option for low cost structural steel fabrication.  However, purchasing managers should take notthat the lack of infrastructure within the country leads to manyfrustrations.  Items are often deliveredlate, or even worse, completed, but too large to travel on Indian roads,therefore never able to reach the end customer. Additionally, Indian politicians are constantly at odds with each otherover tariff levels.  The import andexport duties quoted when starting a project are rarely the same by the projectcompletion date.  Lastly, a recent studyfrom the United Nations found that Indian workers are ranked as the leastproductive in the world.  Extreme cautionshould be exhibited when locating an Indian supplier.  Nonetheless, companies such as Tata Steelhave emerged in India, as an exception to the rule that Indian suppliers arenot reliable.  However, now that TataSteel has earned such a strong reputation, its structural steel fabricationservices are often not priced competitively. Brazil isa popular source of low cost structural steel fabrications.  Brazil’s proximity to the United States incomparison to other low cost suppliers like India makes it an attractiveoption.  However, Brazil is infamous fordepleting the rainforest in the name of industrial development.  In this sense, purchasing managers are facedwith an ethical dilemma when supporting companies that source raw materials forimportant ecological areas.  Not takinginto account ethical issues, Brazilian companies can be considered reliable andtimely manufactures of structural steel fabrications.  Brazil is recommended far above India orChina. Finally,Turkey is among the most popular sources of custom steel fabrications.  Turkey is the highest recommend nation as asupplier of structural steel.  Itsproximity to the European Union and its lack of tariffs on steel productsexported to the United States make it an attractive choice.  Its young, highly skilled workforce ensuresproducts are manufactured to highest standards of quality.  Thanks to funds provided by the EuropeanUnion, Its infrastructure is much stronger than any of the other low cost countriesmentioned, allowing for flawless logistics. Multiple international seaports, multi-lane expressways, and railway lineswith direct connections to the West serve the steel fabrication shopsthroughout Turkey.  Furthermore,scholarly research has shown that Turkish business culture is highlypro-Western, meaning Turkish steel fabricators are highly motivated to provetheir dependability to Western customers.  With theincreasing complexity of large infrastructure projects it has become essentialto verify the quality of structuralsteel components prior to delivery and to assure they are durable, safeand perform as designed.  Turkishstructural steel suppliers prove to deliver high quality structural steelcomponents in a timely manner, while still offering the cost savings found byoutsourcing to a low cost country.  Dueto cultural and political factors, Turkish structural steel fabricators provemore reliable and better-equipped than those from other low cost countries.

Outsourcing,Structural,Steel,F

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