If you’re planning to manufacture and assemble electronics overseas, you might be wondering how outsourcing your product assembly to China can benefit your business. There are many benefits that come with manufacturing in China including lower costs, shorter lead times, and higher quality of products. These are just some of the perks of outsourcing product assembly to China that you should know about when deciding where to base your manufacturing operations or e-commerce distribution center. You can find out more about these advantages below.
According to a study from 2005, China has one of the highest costs of labor in Asia. However, other studies suggest that shipping products across oceans makes China an attractive location for manufacturing in terms of overall costs. Either way, saving money on product assembly will help your bottom line immensely. Manufacturers outsourcing their assembly process are typically able to cut between 20% and 50% off their product cost; without outsourcing, you could probably make a very similar product at a cost-per-unit profit comparable to or even greater than that of your competitors. It’s no wonder why so many manufacturers have chosen to outsource product assembly: The benefits are clear.
Improving Time to Market
It’s no secret that time-to-market is a major factor in determining success for new products. Starting with a lean manufacturing strategy can really improve your company’s ability to quickly get products onto store shelves and out into homes. Before you start building your product, consider if it makes sense to outsource product assembly or even electronics manufacturing. If done correctly, outsourcing certain parts of production can make prototyping faster, reduce costs and improve overall efficiency in product assembly and time-to-market. In addition, outsourcing electronics manufacturing overseas may allow you access to better talent at lower costs than you’d find domestically.
Improving Quality Control
One of the most important aspects of electronic manufacturing is your company’s quality control. All products, regardless of complexity, have at least one critical element that keeps them working properly: a single connector or set of wires, an integrated circuit or a battery. You must take special care when making these elements because any mistake can mean disaster for your customers. That’s why hiring outsourced workers to manufacture your product assembly allows you to retain more control over production than you would in-house manufacturing: When someone is actually constructing a product on your behalf in another country, they know they only have one shot at creating something that works perfectly every time—or it’s not going back on an airplane with them.
Increasing Customer Satisfaction
When it comes to outsourcing, customer satisfaction is just as important as cost. The most common mistake of new electronics manufacturers is trying to save money by selecting a vendor that cuts corners. This can lead to a lot of headaches further down the line, including returns and re-work. Start off right by finding an experienced partner with a proven track record in product assembly and electronic manufacturing services. You’ll have greater peace of mind knowing that you’re on your way to growing a successful business—not just doing business in China. Also, its time-saving benefit can also contribute to better customer satisfaction by keeping your design team focused on what they do best – designing new products! There’s nothing worse than spending hours making minor tweaks to an existing product when there are millions of dollars worth of opportunities out there just waiting for a new idea. Product design is where you’ll see huge improvements by hiring experienced engineers and designers with experience working with complex electronics like yours.
Helping Understand the Chinese Electronics Manufacturing Ecosystem
In China, product assembly work can be done through a large number of vendors. As a result, you have many different firms that are capable of handling specific tasks in your manufacturing process. To benefit from these resources, it is important to understand how they fit into the Chinese electronics ecosystem and what services they can provide. But to grasp each type of organization involved in electronics manufacturing in China can be very challenging for someone new to the country. It will be much easier for you to find an outsourced partner that can complete a specific stage of your production line and bridge all the gaps together with other departments for the output of quality products.
Shield Works is one of your best choices with a self-owned IP protected, in-house bilingual engineering team and over 16 years of experience of manufacturing in China for clients worldwide, including product assembly. Please feel free to contact us if you are interested.