IPS Services Develops Suppliers

Today, local supply chains contribute to the efficiency of manufacturing companies' operations, making supplier development increasingly common. Just as companies in Mexico seek to localize suppliers, companies based in the United States, Canada, and Europe also seek inputs from our country, relying on companies like IPS Services to assist with procurement needs for large corporations.

"We are a supply chain services firm where we help our clients develop suppliers in Mexico, so we are looking for a wide variety of Mexican inputs," said Oswaldo Gutiérrez, Managing Partner of IPS Services.

He added that, although industries serving the end consumer in the United States are somewhat overstocked and sales volumes are not at their highest levels, and projects in Mexico may be slow, they continue to seek suppliers in the country.

Currently, the company is looking for suppliers of metal fabrications, including stamping, welding, cutting, and bending, among others. Since the company began operations nearly four years ago, it has developed more than 30 suppliers in Mexico.

"In the process, we have quoted or contacted more than 100 suppliers, who go through a validation process to serve our more than 25 buyer clients," said Gutiérrez.
IPS Services supports companies in the household appliances, electrical, automotive, and general industry sectors in sourcing inputs from Mexico.

Looking for the Ideal Supplier

The Managing Partner of IPS Services emphasized that, to be part of the value chain for foreign companies, suppliers must have ISO 9001:2015, IATF 16949, as well as the ability to export and hold the IMMEX certificate.

The supply chain expert pointed out that, for some companies, supplying to foreign companies might seem complicated, but IPS Services provides support.

"Not all companies clearly understand the steps to follow and the tax implications involved in exporting and not charging VAT or bringing in materials from abroad, so I believe it's necessary to prepare to become an exporting company," said the procurement expert.