Unleashing the Secrets of a Seamless Product Assembly Process
Product assembly is an essential part of the manufacturing process and is critical to the success of any product. Whether you are a small start-up or a large corporation, a seamless product assembly process can greatly impact your bottom line and help you stay ahead of the competition.
In this article, we will explore the secrets of a seamless product assembly process and provide you with the tools and knowledge you need to streamline your product assembly process for maximum efficiency, cost savings, and quality.
Understanding the Stages of the Product Assembly Process
The product assembly process typically consists of several stages, each of which plays a critical role in ensuring a high-quality final product. These stages can include:
Design & Prototyping
The first stage of the product assembly process is the design and prototyping stage. During this stage, the product is designed and a working prototype is created. This stage is critical because it allows you to test the product and make any necessary changes before it goes into full production.
Raw Materials Procurement
The next stage is the procurement of raw materials. This stage involves sourcing the materials that will be used to create the final product. It is important to choose the right materials to ensure that the product is durable, reliable, and meets the required specifications.
Once the raw materials have been procured, the next stage is the fabrication of the parts. This stage involves cutting, shaping, and forming the materials into the necessary parts for the product.
The component assembly stage involves putting the parts together to create the subassemblies that make up the final product. This stage requires precision and attention to detail to ensure that the subassemblies fit together correctly and are functional.
The final stage of the product assembly process is the final assembly stage. During this stage, the subassemblies are put together to create the final product. This stage is critical because it is the final opportunity to make any necessary adjustments or improvements to the product before it is packaged and shipped to customers.
Streamlining the Product Assembly Process
To streamline the product assembly process, there are several key principles that you can follow. These include:
Automating certain parts of the product assembly process can greatly improve efficiency and reduce the risk of errors. Automated systems can be programmed to perform specific tasks, such as placing components in the correct position, checking for proper alignment, and monitoring the quality of the product.
Standardizing the product assembly process can help to ensure consistency and improve efficiency. This can be achieved by using standardized procedures, tools, and equipment to ensure that each step of the process is performed the same way every time.
Continuous improvement is key to a seamless product assembly process. By constantly evaluating the process and making improvements, you can reduce waste, increase efficiency, and improve the quality of the final product.
Lean manufacturing is a philosophy that emphasizes the elimination of waste and the optimization of resources. By incorporating lean principles into the product assembly process, you can reduce waste, improve efficiency, and increase profitability.
Tools & Technologies for a Seamless Product Assembly Process
There are several tools and technologies that can help you streamline the product assembly process and improve the quality of the final product. These include:
Computer-Aided Design (CAD) Software
CAD software can be used to design the product and create a virtual prototype. This allows you to make changes and test the product before it goes into full production.
3D printing can be used to create prototypes and even final products in some cases. This technology has revolutionized product assembly by allowing manufacturers to quickly and easily create prototypes, test and refine designs, and even create final products with greater precision and accuracy.
Automated Inspection Systems
Automated inspection systems can be used to check the quality of products during the assembly process. These systems use cameras and sensors to inspect the product and identify any defects or deviations from the specified requirements. This helps to ensure that the final product meets the required standards and reduces the risk of product defects.
Industrial robots can be used to automate certain tasks in the product assembly process. These robots can be programmed to perform tasks such as placing components in the correct position, checking for proper alignment, and monitoring the quality of the product. By using robots in the product assembly process, you can reduce the risk of errors and improve efficiency.
Integrated Software Systems
Integrated software systems can be used to manage the product assembly process from start to finish. These systems can be used to track the progress of each step of the process, monitor production schedules, and control inventory levels. By using integrated software systems, you can improve the visibility of the product assembly process and ensure that everything runs smoothly.
A seamless product assembly process is critical to the success of any product. By understanding the stages of the process, following key principles such as automation, standardization, and continuous improvement, and utilizing tools and technologies such as CAD software, 3D printing, automated inspection systems, industrial robots, and integrated software systems, you can streamline your product assembly process and improve the quality of the final product. With these secrets, you can unlock the potential for greater efficiency, cost savings, and customer satisfaction.
Shield Works is a assembly facility with 18 years of experience and IP-protected production units. We can save you the hassles of assembling your product all the way from the get-go. Contact us today!
OEM VS. ODM: How to Choose the Right Manufacturer for Your Business?
China remains the world’s manufacturing superpower and many overseas businesses with great concepts would love to put their dreams into action in this country. If you ever find yourself wanting to produce items in China, there are two common phrases that may come up while reaching out to a supplier: OEM and ODM.
These two terms are crucial when dealing with manufacturing projects. But do you know what they mean? How to differentiate them? Which is the best fit for you? In this blog, we will explore the meaning of these acronyms, the difference between them, how they differ from one another, and their respective benefits. Let’s get started!
What Does OEM Mean?
OEM is an abbreviation that stands for Original Equipment Manufacturer. In China, OEM also denotes contract manufacturing or outsourced manufacturing.
Typically, OEM refers to a product made by a production factory based on the original company’s specifications and guidelines. In this case, the OEM firm plays only a manufacturing role in the supply chain.
An OEM operates on a business-to-business (B2B) basis and the most common products created by OEMs are for businesses in industries such as automotive and electronics.
Why Do You Need An OEM?
In many cases, a firm with great ideas or product designs, but doesn’t have enough resources to produce high-volume or highly specialized goods. Then outsourcing production to an OEM company can help to cut down on costs while making goods of high quality.
And the most important thing is that the company that owns its exclusive intellectual property rights over the products has full control over the product they are requesting, meaning that it can make changes to the product whenever possible.
The company does not need to spend time and money on construction; instead, it can spend time on improving its ideas and designs and it can spend money purchasing goods from the OEM. Likewise, the OEM has in-house staff and production lines, and it just needs to make products on demand in bulk. This arrangement benefits both parties because they are free to specialize in their skills while still making profits.
The business usually asks the OEM supplier to manufacture parts and components according to their specifications. The business affixes the finished product with the company trademark and sells it on the market under its name, and at competitive prices.
What Does ODM Mean?
The acronym ODM means Original Design Manufacturer. An ODM company design and manufacture products before distributing them to other companies who then market and sell to end customers under their brands. Products that an ODM company produces are also known as white-label products or private-label products.
Product categories that benefit heavily from ODM manufacturing include plastics, cosmetics, clothes, and consumer electronics.
Why Do You Need An ODM?
Unlike an OEM company that manufactures individualized products accordingly one at a time, an ODM produces the goods in bulk based on their capabilities and techniques. This way, an ODM supplier usually has a few set production lines producing the same products for years.
This provides small or medium-sized businesses with the chance to use these generic finished products to start their businesses or expand their product lines without having to invest too much money, time, and new staff into it. Thus, ODM is a cost-effective yet efficient option for many importers.
Actually, ODM is getting increasingly popular among Amazon sellers who are creative but have little capital, they still have chances to be successful and make a great fortune when they don’t have much knowledge in this field. They just need to be a bit fortunate and smart to choose the best OEM supplier, buy high-quality products and properly market the products themselves. A lot of times, many supermarkets with various types of necessities at a reasonable price are purchasing items from the same ODM supplier.
There are many similarities between OEM and ODM that can be compared, but one of the major aspects that people mention all the time is how they can help businesses save up on costs and time. This is a prime reason why you should consider working with an industry-savvy China-based company to diversify your company’s offerings.
However, different suppliers offer similar services but they each have their own working processes and specifications, which means there is no such thing as the perfect supplier for everyone. For example, if you are in need of an OEM company, their prices may vary due to differing availability of material sources or specific machinery needed. So, it’s important to make sure you understand these differences before working with one supplier over another.
If you want to start your production project in China but are not sure how to get started, let Shield Works make it easy for you! We are a British-owned and managed company that specializes in the high-quality and competitive rate of contract manufacturing and product assembly services. By following a rigorous process, we are able to ensure quality and consistency from order to delivery. Whether it’s for one-time or large batch orders, we work to deliver only the best product strategies and results for each client. Start your journey by reaching out today to see how we can help you reach your production goals.
Product Assembly Line Design: How to Improve Efficiency and Reduce Costs
Product assembly lines are the backbone of modern manufacturing. They are used to produce goods efficiently and at a low cost. However, designing an efficient and cost-effective assembly line can be a challenging task. In this blog post, we will discuss some key strategies for designing a product assembly line that improves efficiency and reduces costs.
Understand Your Product
First and foremost, it is essential to understand the product being assembled. This includes understanding the product’s dimensions, weight, and required assembly steps. This information will help determine the layout of the assembly line and the equipment needed.
For example, if the product is large and heavy, a conveyor belt system may be required, whereas a smaller product may only require a workbench.
Understanding the product also helps in determining the number of stations required on the assembly line, the type of equipment needed and the number of employees required to operate the assembly line.
Moreover, it’s important to consider the product’s life cycle and production volume, to make sure that the assembly line is designed to meet current and future needs.
Know the Flow
Another important aspect to consider is the flow of the assembly line. The goal is to create a smooth and efficient flow of materials, components, and finished products.
This can be achieved by using techniques such as lean manufacturing, which focuses on eliminating waste and maximizing efficiency. Lean manufacturing focuses on the elimination of waste, which includes anything that does not add value to the product. This includes overproduction, waiting, unnecessary transportation, overprocessing, excess inventory, unnecessary motion, and defects.
By eliminating waste, manufacturers can improve efficiency and reduce costs. Furthermore, the flow of the assembly line should be designed in a way that minimizes the distance and time that materials, components, and finished products need to travel. This can be achieved by using techniques such as U-shaped assembly lines, cellular manufacturing, and continuous flow manufacturing.
Automate Certain Tasks
One way to reduce costs is by automating certain tasks on the assembly line. Automation can improve efficiency and reduce the need for manual labor, which can be costly.
However, it is important to strike a balance between automation and manual labor, as some tasks may be better suited for manual labor. For example, tasks that require a high degree of precision and accuracy may be better suited for automation, whereas tasks that require dexterity and flexibility may be better suited for manual labor.
Additionally, automation can help with reducing the variability of the process, which can lead to improved quality and consistency of the product.
In addition to automation, it’s important to consider the use of robotics on the assembly line. Robotics can improve the speed and accuracy of certain tasks, but it’s important to weigh the costs of implementation and maintenance. Robotics can be an expensive investment, and it’s important to ensure that the benefits outweigh the costs.
Robotics can also be integrated with automation, which can lead to significant improvements in efficiency and cost reduction. Moreover, the use of robotics in the assembly line can help with reducing the need for manual labor, which can improve the safety of the assembly line.
Create a Maintenance Program
It’s also important to implement a maintenance program for the assembly line to ensure that it is running at peak performance. Regular maintenance can help prevent breakdowns, which can be costly in terms of both time and money.
A good maintenance program should include regular inspections, preventive maintenance, and predictive maintenance. Regular inspections can identify potential problems before they occur, preventive maintenance can prevent problems from occurring, and predictive maintenance can predict when equipment will fail, so that maintenance can be performed before a failure occurs.
Furthermore, it’s important to consider the maintenance of the software and the computer systems that are used to control the assembly line.
Lastly, it’s crucial to consider the safety of the assembly line. This includes providing proper training for employees, implementing safety protocols and regulations, and regularly inspecting the assembly line for potential hazards. A safe assembly line not only protects the employees from injury, but it also protects the equipment from damage and reduces the risk of liability.
Proper training for employees is essential for ensuring the safety of the assembly line. This includes training on the proper use of equipment, as well as training on safety protocols and regulations. It’s important to provide ongoing training, as new equipment and procedures are introduced. Additionally, it’s important to provide training in emergency procedures, in case of a breakdown or accident.
Designing an efficient and cost-effective product assembly line requires a thorough understanding of the product, the flow of the assembly line, automation, robotics, maintenance, safety, inventory management, digital design, and data analytics. By implementing these strategies, manufacturers can improve efficiency, reduce costs, and ensure that the assembly line is running smoothly. It’s important to remember that the design of the assembly line is not a one-time process and it should be reviewed and updated regularly, to keep up with the changing market conditions and technology advancements.
Working with an experienced manufacturer already with a system in place can help you significantly in securing all the above recommendations. Shield Works is one that you can count on with 17 years of experience and our self-owned facility. Contact us now!
14 Reasons to Product Assembly Outsourcing
Are you determined to make this production year your highest grossing yet? Outsourcing your product assembly function to China might be your best move yet.
Research shows that the total value of the outsourcing industry is expected to reach more than $405 billion by the year 2027. That’s because outsourcing offers numerous benefits to companies, especially when you take advantage of product assembly services in China.
Here’s a rundown of 14 reasons to outsource product assembly.
Let’s jump in!
1. Cost Savings
One of the top reasons to outsource product assembly in China is that this will save you money.
Operating your own manufacturing facility is costly. That’s because the daily operations and setup can require significant outlay and investment. This limits your capacity to spend in other business areas.
However, when you partner with an expert production assembler, you don’t have to put large amounts of money into your production assembly infrastructure. Instead, the production assembler will handle the entire assembly line production process.
In addition, you won’t have to hire and train employees to handle your production assembly tasks. This will furthermore reduce your overhead costs for several reasons.
First, when you hire staff, you’ll pay for more than just their salaries. You’ll also have to cover their government benefits.
Additional employee costs include the equipment that your employees need to perform their tasks. On top of this, onboarding employees takes time, and time is money.
When you outsource production assembly, you convert the fixed costs of employees to a variable cost, which will yield significant savings.
Outsourcing Product Assembly to China
If you use product assembly services in China in particular, you can expect to save even more money than you would if you used services in a Western country.
China’s living costs are significantly lower than what they are in the United States. As a result, your business can access hundreds of skilled laborers who can assemble your products affordably. These products may range from pot holders to umbrellas, baseball caps, T-shirts, and even electronics.
In addition, because you can save money when you outsource your product assembly to China, you’ll have more funds to invest in better-quality components for your products. Likewise, you’ll have more money to invest in promotion and marketing.
This means you’ll be able to offer your customers an inexpensive product and still have plenty of funds left over to advance your business.
2. Advanced Technology
Another reason to embrace product assembly outsourcing is that you can take full advantage of today’s technology during this process.
Upgrading the equipment and technology associated with product assembly is a regular requirement. Unfortunately, this can be cost prohibitive.
However, when you outsource this function to a product assembler, you won’t feel the pressure to spend money in this area. Specifically, you won’t have to invest in the implementation of software or customization processes.
At the same time, you’ll be able to benefit from the latest technologies.
3. Improved Lead Times
Yet another reason to outsource product assembly is that it will help you to improve your lead times.
How quickly you can get your products to market is vital in a marketplace that is competitive. After all, if you don’t finish generating certain products on time, you won’t receive money for them.
This could also cost you future business. That’s because customers may turn to a competing company that they feel is more reliable.
Fortunately, when you outsource product assembly, a reputable product assembler can help you to stay ahead of the competition by producing items on time.
When you work with the right assembler, you’ll also be able to choose from various shipping options. These may range from standard shipping to rush delivery. That means you won’t deal with unpleasant surprises with regard to delivery dates.
In addition, with outsourcing, you don’t have to worry about dealing with hiccups in your supply chain that might delay production. Your product assembler will be the one responsible for managing the supply chain. And if they are a competent company, you can expect this process to be seamless.
Rapid Response Time
Along with producing your products for you, a competent product assembler will respond to your inquiries quickly. This means you can expect faster quotations from the assembler.
When you partner with a product assembler in China, don’t be surprised to see a quote in less than 24 hours. If your product design is simple, it may come in one hour.
Still, let’s say you have a more complicated product design. You may need to wait a couple of days for a quote.
Either way, you can expedite the response time by providing clear order details. These details include quantities, materials, and dimensions.
Short response times also translate to better turnaround times on bulk orders and even product samples.
4. Freed-Up Internal Resources
Outsourcing product assembly can additionally give your business more opportunities to concentrate on innovation.
When you work with a high-level product assembler, you can expect them to follow the strictest manufacturing standards. This will lead to the fabrication of products that are consistently high in quality.
As a result, you won’t have to constantly worry about the caliber of your products. In addition, your employees won’t be limited to generating products for you.
Instead, you’ll have more human resources and time to dedicate to innovation. In other words, you can focus more on improving your product. This will lead to more satisfied customers and, in turn, better sales.
5. Dedicated Assembly Expertise
Product assembly outsourcing is also a wise choice because it will give you access to dedicated assembly line production expertise.
This means you don’t have to worry about recruiting, interviewing, and hiring your own product assembly experts. Likewise, you won’t need to work on retaining, rewarding, and training them.
Instead, you’ll be working with individuals who understand product assembly and are invested in helping you to develop your products.
A dependable chosen production assembler will possess a broader range of connections, services, and resources than you could create on your own. Therefore, you can easily embrace and leverage the latest industry developments.
6. Improved Quality
When you choose to outsource, you can cut off expenditures that are uneconomical and therefore increase your products’ quality. That means both you and your customers can have greater confidence in all of the components that go into your products.
This is another reason to take advantage of product assembly outsourcing.
Reputable firms have well-trained employees who know how to put together products correctly. Firms in China especially take this seriously by practicing quality control that is process oriented.
Based on this quality control approach, laborers may be given 60 seconds to assemble a particular item, for example. If they take longer than this, managers recognize that something is wrong with their materials and tools or their training.
The leaders of these firms then make the necessary adjustments to make sure that their staff can generate products both accurately and quickly.
Also, when you hire an experienced production assembler, you can be confident that they will carry out their assembly and manufacturing work based on both international and national standards. These include ISO certification standards, for example.
7. Greater Assembly Capacity
The frequency and sizes of your orders can fluctuate depending on the season.
Fortunately, when you work with a production assembler, you can manage market demand fluctuations more cost effectively. That’s because an assembler has the resources and capacity to easily accommodate spikes in product demand.
This means you’re guaranteed to always get the products you need for your customers when they want them.
8. Rapid Problem Resolution
As a business owner, you’ll love the fact that the best production assemblers can solve product assembly issues relatively quickly as well. This is invaluable given that unplanned downtime was expected to cost Global 500 companies nearly $1.5 trillion in 2022 — or 11% of their yearly revenues.
Problems can happen at any time when products are being assembled. However, the right assembly production partner will have the experience and expertise needed to ensure that the necessary remedial work takes place efficiently and quickly.
With the right production assembler, wrongs will quickly be righted without affecting your profit margin or schedule.
You can also benefit from outsourcing production assembly in that these services are typically flexible when it comes to production volume.
Experienced production companies are accustomed to handling high levels of production construction. As a result, they can easily adjust production based on products’ demand.
So, let’s say that your products suddenly become in high demand. You can depend on your assembler to absorb this increased demand with no problem. You may be surprised to find that the assembler has greater flexibility than your business’s internal operations do.
10. Opportunity to Focus More on Business
Outsourcing production assembly can additionally help you to concentrate more on doing what you do best: running your business.
This will, in turn, help your business to operate more efficiently and effectively. It may also make your business management experience less stressful.
11. Fresh Ideas
Another reason to outsource your product assembly function is that it may expose you to new ideas for your business.
For instance, you may develop a new passion for sustainability. This may occur because you’ll be able to access more resources through your partner than you could have ever taken advantage of internally. You’re no longer stuck with one individual or team whose worldview is limited.
As a result, you may find yourself developing a more globally relevant vision for your company, and the creative output needed to execute it will follow.
All in all, when you partner with talented and diverse individuals, you can expect to develop the fresh mindset you need to win against your competition long term.
12. Improved Risk Management
Product assembly services in China may also be a good investment in that they may help you to reduce your company’s risk and therefore make risk management easier for you.
All business investments carry some degree of risk. However, when you outsource your assembly production function, your production partner can manage your risk in this area.
As a result, you don’t have to bear all of this risk yourself. This reduces the burden associated with running your business, therefore making it a more pleasant experience for you.
13. Realize Re-Engineering’s Benefits
By outsourcing production assembly, you and your team may also develop a greater appreciation for re-engineering.
Re-engineering focuses on making drastic improvements in several performance areas. These include speed, quality, service, and cost. However, if you’re tight on time and money, you may not prioritize these areas daily.
However, when you embrace outsourcing, you can experience the advantages of re-engineering right away. This means your business can become more productive and efficient, and as a result, you may keep re-engineering on the front burner in the future.
14. Access New Markets
Finally, outsourcing may allow you to access and expand to a new market area — the area where your production assembler is located.
This means you may be able to establish a local presence in this region ahead of the competition.
How We Can Help with Product Assembly
Product assembly can help you to reduce your company’s costs and expand to new markets. It can also allow you to free up your internal resources so that you can focus on honing other aspects of your business operations.
At Shield Works Precision Manufacturing, we’re proud to offer top-tier product assembly services in China. You can trust us to exceed your and your customers’ expectations with the products we produce for you.
Get in touch with us to learn more about our services, and let’s work together to boost your bottom line today!
Product Assembly in China: 5 Tips on How to Find the Right Supplier?
Are you tired of the expensive cost of product assembly services in your home country? You should consider outsourcing your assembly project to China, saving you time and time while maintaining high quality.
However, knowing how and where to find a reliable product assembler in China may feel like an intense task. To learn how to find an experienced and reliable product assembly service provider in China, keep reading for the following step-by-step process.
1. Define Requirements
Before beginning your search for any product assembler, you need to define your requirements for your assembly project clearly with your in-house team members. Make sure that everyone that will be involved is on the same page and consents to the whole process ahead of time, so there can be no confusion or objections later on.
Before moving forward, it’s a good idea to discuss your specific needs such as:
- What’s your product like?
- What kind of materials are you using?
- What parts will you need for assembly?
- How large is the project?
- How long will it take to finish your project?
- Are you looking for a one-time project or an ongoing relationship?
Answering these questions will help you narrow your search and ensure that you find the right person to meet your needs.
2. Learn About the Industry in China
There are many product-assembly plants around China, and all of them vary. Before you start your search for the right supplier, it’s important to learn about the industry. Generally speaking, the product assembly industry in China is huge. One of the largest segments of this market is an electronic assembly including semiconductor assembly and cell phone assembly.
In addition to understanding the size of the industry, you should also familiarize yourself with the key advantages of the market. There are many reasons foreign companies outsource their product assembly to China rather than get it done domestically, such as lower costs. However, there are more benefits that should be considered when examining all aspects of this market. Learning about the pros and cons will enable you to make an educated decision about which company you would like to do business with so that you are satisfied with the outcome for both parties involved.
3. Do Due Diligence
Suppose you are going to hire a product assembly company in China in the near future, then you must complete rigorous due diligence and risk mitigation at least one month in advance. This way, there will be enough time for comparison to find the best possible candidate.
Start by researching the company’s background, reputation, expertise, and service category so you can reach out to those who are suitable for your project.
Then, check for their case studies and previous customer reviews carefully, and get in touch with past clients in the forum to see if they have any other recommendations. These sources will provide you with valuable information about the product assembler’s experience, reliability, quality, and pricing structure.
Finally, take the time to meet with the company and get a feel for the team that will be handling your assembly project. Make sure that the staff have sufficient experience and expertise and are committed to meeting your needs.
4. Register Your Intellectual Property Rights in China
This is an important and necessary step to take. Before proceeding with any business transaction, you need to register your intellectual property rights in China even if you have them filed and registered in your home country, which is a good way to protect yourself from infringement. The IP rights include any watermarks, trademarks, and other copyrights related to your original idea and design.
This is a crucial step that should not be overlooked, as failure to do so could lead to serious repercussions. If you don’t register your IP in China, it means that if someone else files for these first before you do, they can take over all ownership of the product. It doesn’t matter if your company is one-of-a-kind or not, nobody can claim ownership without registering IP rights in China.
By registering your intellectual property in China before partnering with a product assembly service provider, you can ensure that your designs and ideas are safe from theft and misuse. Furthermore, registering your IP can also help you build trust with potential suppliers, showing that you are serious about protecting your work.
5. Conduct Independent Audits
Finally, it’s important to ensure that your supplier is up to the task because you want to receive high-quality products without risks. Conducting independent audits of a potential supplier’s assembly facility and processes can help you make sure that they have full capabilities to meet your quality standards.
If you are unable to visit the plant in person currently, hiring a third-party inspection company would serve your needs best. The inspector will visit the plant on your behalf, ask and confirm with the supplier questions about their workflows, safety protocols, and any other relevant information, and check their product sample to see if the quality is up to standards. The inspector will also review related certifications and documents regarding these tasks.
By conducting an independent audit of your product assembly supplier, you can have a more comprehensive understanding of the supplier’s capabilities and quality control measures to ensure that you are making the right decision for your business.
Work With a Western-owned Product Assembly Supplier in China
Finding the right product assembly supplier in China can feel like a dubious task. The good news is that we at Shield Works are here to assist you anytime you need it.
As a British-owned and managed company in China since 2005, we have an extensive understanding of the ins and outs of getting products to those who need them. This level of experience provides great reliability when it comes to meeting expectations for quality and consistency. Reach out today to learn more about how our services can help you!
Top 10 Tips for Finding a Reliable Contract Manufacturer in China
China has long been known as the factory of the world, and for good reason. With its vast pool of skilled labor and competitive pricing, it’s no wonder that so many businesses turn to China when looking for a contract manufacturer. However, as with any business endeavor, it’s important to tread carefully and do your due diligence when searching for a contract manufacturer in China.
In this blog post, we’ll be sharing the top 10 tips to help you find a reliable contract manufacturer in China. By following these tips, you’ll be able to navigate the Chinese manufacturing landscape with confidence and find a quality partner to help bring your products to market.
Tip #1: Do Your Research
Before you even begin your search for a contract manufacturer in China, it’s important to do your research. This means learning about the different regions of China, the different industries, and the types of products that are manufactured in each area. This will help you narrow down your search and make it easier to find a contract manufacturer that specializes in the type of products you need.
Tip #2: Use Online Resources.
The internet is a treasure trove of information when it comes to finding a contract manufacturer in China. There are a number of websites and platforms that can help you connect with manufacturers, such as Alibaba and Google. However, it’s important to remember that not all manufacturers listed on these sites are legitimate, so be sure to do your due diligence and vet any potential partners carefully.
Tip #3: Visit Factories in Person
One of the best ways to ensure that a contract manufacturer is legitimate and capable of delivering the quality of products you need is to visit the factory in person. This will allow you to see the facilities, meet the staff, and get a sense of the manufacturing process firsthand. It’s also a good opportunity to discuss your requirements and ensure that the factory has the capabilities to produce your products. Now that China is all reopened, you can travel whenever you can!
Tip #4: Check for Certifications & Standards
When looking for a contract manufacturer in China, it’s important to check for certifications and standards. This can include ISO certifications for quality management and environmental management, as well as certifications for specific industries such as toy safety or medical device regulations. Having these certifications can be an indication of a manufacturer’s commitment to quality and can give you peace of mind when it comes to the safety and compliance of your products.
Tip #5: Consider Language & Cultural Barriers
China is a vast country with many different regions and dialects, and this can lead to language and cultural barriers. When selecting a contract manufacturer, it’s important to consider these barriers and make sure that there is good communication between your team and the manufacturer’s team. This can include hiring a translator or hiring a sourcing agent who is familiar with the Chinese market and culture.
Tip #6: Get References & Check Them
When looking for a contract manufacturer in China, it’s important to get references from other companies that have worked with the manufacturer. This can give you an idea of the manufacturer’s reliability, quality of products, and ability to meet deadlines. Be sure to check these references carefully and ask for specific examples of how the manufacturer has performed in the past.
Tip #7: Look for a Long-Term Partnership
A contract manufacturer is not just a vendor, it’s a partner in your business. When looking for a contract manufacturer in China, it’s important to consider the long-term potential of the partnership. This includes things like the manufacturer’s ability to scale production as your business grows and the manufacturer’s willingness to invest in new technologies and equipment to improve the quality of your products. A long-term partnership can lead to cost savings and improved efficiency in the long run.
Tip #8: Consider the Logistics & Shipping
When working with a contract manufacturer in China, logistics and shipping can be a major concern. Make sure to discuss shipping options with the manufacturer and consider things like lead time, shipping costs, and customs clearance. It’s also important to consider the manufacturer’s location in relation to your market, as this can affect shipping times and costs.
Tip #9: Protect Your Intellectual Property
Intellectual property (IP) is a major concern when working with a contract manufacturer in China. Make sure to take steps to protect your IP, such as signing non-disclosure agreements (NDAs) and registering your trademarks and patents in China. It’s also important to be vigilant about monitoring for IP infringement and taking action if necessary.
Tip #10: Be Prepared for the Unexpected
Despite your best efforts, things can still go wrong when working with a contract manufacturer in China. Be prepared for the unexpected by having contingency plans in place and being open to problem-solving. This can include having backup manufacturers or sourcing alternative materials if necessary.
Finding a reliable contract manufacturer in China is not always easy, but by following these tips, you can increase your chances of success. Remember to do your research, visit factories in person, and look for a long-term partnership. By investing the time and effort to find the right contract manufacturer, you can ensure that your products are of the highest quality and that your business is on track for success.
Shield Works is one that checks all the aforementioned boxes, with 17 years of experience and self-owned facility that guarantees the whole process will be done in-house and on your watch. Contact us today!
Advancements in OEM Manufacturing: What You Should Know
In the United States, manufacturing is a multi-billion industry. The Original Equipment Manufacturing (OEM) sector is a vital component. In recent years, many advancements in OEM manufacturing have significantly increased efficiency.
One of the most critical developments in OEM manufacturing is modern technologies. These technologies enable manufacturers to create complex parts with precision.
This results in higher-quality products that are faster and cheaper to produce. This blog covers some of the latest advancements in OEM manufacturing. We will discuss the challenges of incorporating new technologies into the production process.
Read more to dive deep into the latest advancements in OEM manufacturing. Learn how they can help make production processes more efficient and cost-effective.
The Importance of OEM Manufacturing for the World Economy
An OEM manufacturing company plays an essential role in the world economy.
It allows companies to produce large quantities of components for various products. This goes from cars and aircraft to computer systems and medical devices.
With the increasing demand for products, OEM manufacturers must become increasingly efficient. They also must be cost-effective to remain competitive.
Due to this, there has been a growing trend toward automation. This also applies to the digitization of OEM processes over the past decade.
Automation involves using machines or robots to perform specific tasks done by humans. This reduces costs while enabling higher precision levels with greater consistency in production.
Additionally, digital technologies are being used more widely by OEM manufacturers. This is due to their ability to produce custom components from designs quickly.
The Global Challenges of the Supply Chain That Affect OEM Manufacturing
OEM manufacturing is becoming increasingly complex. This is due to hyper-globalization, customer demands, and supply chain disruption.
With new technologies and business models, it is critical to stay ahead of the curve. Otherwise, they risk falling behind their competitors.
Hyper-globalization has created a highly competitive market for OEMs. Companies can access new resources at lower costs. This occurs through outsourcing production to other countries.
However, this often comes with its own set of challenges. Manufacturers must contend with language barriers, cultural norms, and customs regulations. They must face other issues when doing business in different countries.
Furthermore, navigating the global trade landscape can be time-consuming and costly.
Customer demands can also create challenges for manufacturers regarding product customization.
OEMs must continually modify their designs and production processes. This helps meet changing consumer tastes. It also helps maintain high levels of quality control.
Customer Demands and Political Unrest
Additionally, customers are increasingly expecting products to arrive faster than ever. Failure to meet tight deadlines can lead to lost sales. It also results in decreased customer satisfaction.
Finally, supply chain disruptions present another challenge for manufacturers in an interconnected world.
These events could lead to shipment delays from natural disasters to political unrest. It can even lead to complete stoppages if not correctly managed or mitigated.
This could have ramifications for products already in transit. It also applies to future orders from the same supplier. They may now face increased delivery times due to unforeseen circumstances.
Overall, operating an efficient and profitable OEM business presents many challenges. This is true as we become more interconnected globally through technology and economics.
You become future-proof by staying informed about changing customer demands across multiple markets. By being aware of supply chain disruptions, you ensure that businesses remain agile.
Big Data Analytics for OEM Manufacturing
OEM manufacturers increasingly turn to big data analytics in today’s fast-paced world.
Big data analytics is a useful tool. It gives manufacturers real-time insights into complex operations. It allows them to make beneficial changes as needed.
By leveraging current technologies such as predictive analytics, you optimize your business. With fraud detection and customer segmentation, OEM manufacturers can optimize their production operations.
Big data analytics offers many advantages for OEM manufacturing. For instance, it is accurately predicting demand based on customer behavior.
Manufacturers are better equipped to anticipate customer needs and improve supply chain efficiency. This results in collecting and analyzing data safely.
Additionally, big data analytics can provide deep insights into customer preferences. It allows OEMs to customize products or services according to market demands.
Automated Processes and Problem Prediction
Using big data can detect potential problems before they arise. This is a great benefit in business.
Advanced analytics, such as machine learning algorithms, can recognize patterns. These patterns appear in operational processes that indicate potential faults or risks.
This allows OEMs to quickly identify and address issues. If not, they could lead to costly downtime or decreased efficiency.
Finally, big data analytics can help reduce costs by improving overall process efficiency.
Automated processes powered by big data are becoming increasingly effective tools. They optimize various process operations within an OEM environment.
Manufacturers who invest in sensors and connected systems can improve their workflow speed. Not to mention, they enhance their accuracy without additional labor costs.
Cloud Computing for OEM Manufacturing
Over the past decade, cloud computing has revolutionized OEM manufacturing.
The cloud offers great solutions to businesses. For example, it allows manufacturers to manage their data on remote servers.
It is a cost-effective way of streamlining operations. Not to mention, it results in improved security of their systems.
Because cloud-based solutions are subscription-based, OEMs can benefit from increased flexibility in budgeting.
Additionally, manufacturers can reduce their capital expenditures with cloud computing. They can also reduce the need for hardware investments and software upgrades. This is because they are all taken care of in the cloud.
Another advantage of using cloud computing is accessing data from any device anywhere.
This means that OEMs have real-time access to information, such as parts availability, customer orders, inventory levels, and more from anywhere worldwide. This significantly benefits traditional methods requiring manual checks or travel time.
Furthermore, cloud-based solutions provide advanced security features. These protect data from threats internally and externally.
Manufacturers ensure that sensitive information remains secure with customizable permission and enhanced encryption. This is true even if an external breach or hack occurs.
Finally, cloud technology makes it easier for employees to share information securely. It helps collaborate efficiently on projects involving multiple departments or locations.
Increased collaboration leads to quicker decisions on essential matters. It can drastically improve product development and process improvements.
Digital Twins and Automation for OEM Manufacturing
Digital twins and automation are two significant technological advancements. Over the past few years, they have revolutionized OEM manufacturing.
By allowing manufacturers to create digital models, digital twins can improve process management.
Additionally, automation technologies such as 3D printing have drastically reduced lead times. It also leads to increased factory productivity worldwide.
Digital twins are created by collecting data from sensors. These are placed on physical assets or devices.
The data is then used to create a digital replica of the purchase or process. This can work great for simulations and analysis.
By understanding asset behavior under conditions, digital twins can help identify potential problems.
Automation technologies such as robotics and 3D printing have also been impacted.
Robotics has been used for some time to automate repetitive tasks. Examples include welding, painting, and assembly.
3D printing, on the other hand, is a newer technology used to create complex parts. It can also create products directly from CAD files.
This allows manufacturers to prototype new designs quickly. It helps make changes as needed without incurring high costs.
Both digital twins and automation offer many benefits for OEM manufacturers.
Reducing lead times and increasing productivity can help organizations save money. This helps them remain competitive in today’s rapidly changing landscape.
Real-Time Tracking for OEM Manufacturing
Real-time tracking has revolutionized how original equipment manufacturers operate. With up-to-date information on their products, real-time monitoring allows for faster decision-making.
Real-time trackings, such as RFID and GPS, provides manufacturers with accurate, timely information.
Through these technologies, manufacturers can track the exact location of their shipments. They can also know when goods enter or leave warehouses or other facilities.
This visibility increases operational efficiency by providing clear insights into inventory levels. This can optimize production schedules.
Through tamper-proof tags, manufacturers can rest assured that their goods are secure. In addition, real-time tracking offers enhanced security measures. All of these protect against theft or damages while in transit.
Furthermore, this technology can help identify anomalies or exceptions. This may alert managers to unusual behavior or possible safety hazards. This assists in taking corrective action if necessary.
Finally, real-time tracking provides a cost-effective solution to monitoring operations remotely.
Manufacturers can easily access location data from any device connected to the internet. It will help make changes accordingly without managing multiple sites simultaneously.
This remote functionality also makes it easier for executives to monitor operations. This is great for those who don’t have to travel there physically.
All in all, real-time tracking provides OEMs with better control over supply chains. Thus, it allows them to remain competitive and profitable despite today’s ever-changing landscape.
Blockchain in OEM Manufacturing
The rise of blockchain technology has revolutionized the way OEM manufacturers operate. By providing a decentralized way to manage data, blockchain offers many benefits.
One of the most important benefits of blockchain is its security. Because data is stored in a database, it is tough for hackers to tamper with or destroy information.
Furthermore, each transaction is verified by multiple parties. It is added to the blockchain, making it nearly impossible to commit fraud.
Another benefit of blockchain is its traceability. By tracking data in the supply chain, manufacturers can see where their products are.
This transparency helps ensure that products are shipped according to schedule. It will also ensure they meet all quality control standards.
In addition, traceability can also help identify counterfeit goods. It will ensure that only authorized parts occur in the manufacturing process.
Blockchain also offers some unique advantages when it comes to financing. Because it can issue digital tokens, blockchain provides a new way to raise capital.
These tokens can then be sold to investors in exchange for funding. The funding can finance operations or expand businesses.
Finally, blockchain technology can help reduce costs by streamlining supply chain management.
Through the use of smart contracts, agreements can be automatically executed. This saves time and reduces the need for third-party intermediaries.
Should You Outsource OEM Manufacturing for Improved Business Outcomes?
OEM manufacturing can be a great way to improve your business. The efficiency and cost-effectiveness of your operations are critical to any business.
By outsourcing production, you can avoid purchasing expensive equipment. You also gain access to experienced professionals who understand the complexities.
Outsourcing also allows you to focus on higher-value activities. For example, product design and marketing are essential for growing your business.
Additionally, it can provide greater flexibility when adjusting production levels. This works according to changes in demand or other factors.
However, some potential drawbacks should be taken into account. You have to do this before deciding whether or not to outsource OEM manufacturing.
For example, working with a supplier could mean losing some control over production.
Additionally, specific regulations must be followed when dealing with foreign vendors. This could add additional costs and complexity to the process.
Ultimately, the decision to outsource OEM manufacturing services should be made carefully. It must be done on a case-by-case basis.
Considering all the factors can help you make an informed decision that suits your needs.
Future-Proof OEM Manufacturing
Advancements in OEM manufacturing help to stay competitive and profitable. This is true even despite the ever-changing landscape.
You are future-proof through real-time tracking systems, blockchain technology, and intelligent contract automation. Overall, OEM manufacturers ensure that goods are tracked and managed throughout the journey.
With these technologies, manufacturers can respond to changing market conditions. And as a consequence, they can continue to remain successful well into the future.
Get in touch with us if you’re interested in outsourcing your manufacturing to a reputable and scalable provider.
Contract Manufacturing in China: 5 Red Flags to Watch Out for on Your Production
In today’s globalized world, many Western companies choose to outsource their manufacturing to China to save money and stay on top of the latest trends in design and innovation. Although doing business in China can be extremely lucrative, it’s important to know what potential potholes to look out for to ensure your contract manufacturing project will succeed.
In this article, we list 5 red flags that you should look out for when seeking potential contract manufacturers in China.
1. Unrealistic Price
Chinese contract manufacturers have the capabilities to significantly undercut prices offered by foreign competitors over a wide range of products. As a result, the low production costs provide competitive advantages in the global manufacturing industry.
However, if the price a manufacturing company offers is too good to be true, it probably is a scam.
In this case, it is important to do due diligence for the suppliers and understand the materials and techniques that will be used in your project. This is because paying too low of production prices can often result in lower quality materials or less efficient production, meaning you could end up with an inferior product that does not meet your requirements and standards.
Additionally, be aware that vendors may quote low prices for their products to get the business, but then increase prices later during production or final delivery. Ensure you check the prices and services in your contract to avoid hidden fees or charges after the deal has been finalized.
2. Lack of Clear Communication
Communication is important for every partnership around the world because it helps make sure that everybody knows what’s going on and that there aren’t any miscommunications. But without clear and effective communication, you may be left unsure of how things will play out or how to proceed in the next phase of your project.
To reduce risks associated with communication issues, be sure to clearly explain your requirements and expectations from the beginning and use professionals who are proficient in both English and Chinese to help navigate any language barriers. Additionally, if you have any questions or concerns during the process, be sure to bring them up right away so that they can be addressed promptly.
Keep in mind that communication can be verbal or nonverbal. Even though many Chinese contract manufacturers don’t speak English fluently, they can always roll their eyes or nod their heads during a conversation to make you feel they understand your idea, which can convey a lot of meaning without words.
If a supplier doesn’t seem interested in talking with you and lacks initiative, then chances are they do not have the passion or will to work well with you. Also, if no translator or bilingual worker is available on the team, this suggests inexperience when interacting with foreign customers. In this case, it’s better to turn around and find a better supplier instead.
3. A Manufacturing Company That is Too Big or Too Small
When you’re looking into contract manufacturing in China, one of the most important things to consider is the size of the manufacturing company you’re working with.
A company that is too big or too small can be a red flag when it comes to reducing risks associated with your project.
This is because companies that are too large may be famous in the industry, thus the production fees can be more expensive, so you may end up paying more than you would with a smaller company. Also, they may have too many orders in hand, and they are willing to deal with small orders, which means that they may not keep following your project constantly.
On the other hand, companies that are too small may have difficulty meeting deadlines and providing enough resources to ensure the quality of your product. Additionally, they may not be able to provide the range of services you need for your project.
When choosing a manufacturing company in China, it’s important to do your research and find one that fits your needs in terms of size, cost, capacities, and services. By doing this, you can reduce your risks when it comes to working with contract manufacturers in China.
4. Defective Sample Products
Another biggest red flag that should alert you to potential problems down the road of your manufacturing projects is defective sample products.
This means that when you receive sample products to review, they do not meet your specifications or standards. It could be due to a variety of reasons such as incorrect production capabilities, techniques, materials being used, poor quality control, or lack of understanding of your requirements.
When faced with defective sample products, it is important to address the issues quickly and accurately. First, you should communicate the issues to your contract manufacturer and clearly define what needs to be corrected or improved. Be sure to provide detailed feedback to help your contractor address the issues. You can also request additional samples for further testing if needed. Additionally, make sure to monitor the progress of any necessary corrections or improvements made by your contract manufacturer.
5. Unable to Ask Specific Questions
One of the red flags you should watch out for is an inability to ask specific questions about your project
Typically, an experienced will ask about your project details including expectations and standards. If you’re dealing with a contract manufacturer who won’t provide you with a clear answer or can’t respond to your specific questions related to your requirements, then you should be wary of the arrangement.
Not only could this indicate a lack of experience in manufacturing the product, but it could also mean that they are trying to hide something from you. The best way to reduce your risks is to ensure that you can ask specific questions and get satisfactory answers from the supplier. If a manufacturer isn’t willing to answer your queries or provide detailed information, then you may need to look elsewhere.
By keeping a close eye on your project and addressing any issues quickly and clearly, you can reduce the risks of production delays and costly errors down the line. It is also important to work with a reliable and trustworthy contract manufacturer who has experience working with foreign companies and understands international standards. Doing so will help ensure that all your expectations are met and that your project is successful.
With our UK background, Chinese experience, and expertise, Shield Works can be your reliable contract manufacturing partner to fulfill your needs without overspending and other potential risks. We follow a rigorous process to ensure quality and consistency from order to delivery. Start your journey by reaching out today for more information!
Comparing OEM Manufacturing With In-House Production: Pros & Cons
OEM (Original Equipment Manufacturer) manufacturing is a business model in which a company contracts with another company to produce parts or finished products that the first company will sell under its own brand.
In-house production, on the other hand, is the process of producing goods within a company’s own facilities, using its own resources and workforce.
Both OEM manufacturing and in-house production have their own set of benefits and challenges, and companies must weigh the pros and cons of each approach to determine the best fit for their needs.
One of the main benefits of OEM manufacturing is cost savings. OEM manufacturers often have specialized equipment and processes that allow them to produce goods more efficiently and at a lower cost than companies that produce goods in-house.
This can be particularly beneficial for companies that do not have the resources or expertise to produce certain products themselves.
OEM manufacturing can also allow companies to scale their production more quickly, as they can leverage the existing production capacity of their OEM partners rather than building and maintaining their own facilities.
Focused on Core Competence
Another advantage of OEM manufacturing is the ability to focus on core competencies. By outsourcing non-core production activities to OEM partners, companies can free up resources and focus on their core competencies, such as research and development, marketing, and sales.
This can help them to be more competitive and innovative in their market.
Loss of Control
However, there are also some potential drawbacks to OEM manufacturing. One concern is the potential loss of control over the production process.
When companies outsource production to OEM partners, they may have less visibility into and influence over the production process, which can lead to issues with quality, delivery, or compliance.
It is important for companies to carefully manage their OEM relationships and establish clear lines of communication and expectations to minimize these risks.
Another challenge of OEM manufacturing is the potential loss of intellectual property. When companies share their designs and technology with OEM partners, there is a risk that this information could be leaked or copied. To protect their intellectual property, companies must have strong contracts in place and carefully manage their relationships with OEM partners.
However, in-house production can also be more expensive than OEM manufacturing. Companies must invest in their own production facilities, equipment, and workforce, which can be a significant upfront cost.
In-house production can also be less flexible than OEM manufacturing, as it requires a more permanent and fixed production capacity. This can be a disadvantage for companies that need to scale their production up or down quickly in response to changes in demand.
Why a Good OEM Manufacturer Can Help You Overcome These Drawbacks
There’s always a solution to every problem. How to overcome these OEM challenges so that you can minimize the risk and fully enjoy its benefits?
One effective way is to work with an OEM manufacturer. Let the professional do their work.
But how to ensure that your product is in good hands? Here are a few key qualities to look for:
A great manufacturing company will have strong communication processes in place to ensure that there are clear lines of communication and expectations between the company and its OEM partners. This includes regular updates on production progress, alerts about any potential issues, and an open-door policy for addressing concerns or questions.
A great manufacturing company will have robust quality control processes in place to ensure that the products they produce meet the standards of their clients. This may include measures such as inspections, testing, and certification to ensure that products meet relevant quality, safety, and regulatory standards.
A great manufacturing company will have strong processes in place to protect their clients’ intellectual property. This may include measures such as non-disclosure agreements, licensing agreements, and technology transfer agreements to ensure that clients’ designs and technology are kept confidential. A great manufacturing company will also have robust processes in place to prevent the unauthorized use or reproduction of clients’ intellectual property.
A great manufacturing company will be compliant with relevant laws and regulations, including labor laws, environmental regulations, and intellectual property laws. This ensures that their products are produced ethically and sustainably, and helps to protect their clients’ intellectual property.
A great manufacturing company will be flexible and able to adapt to changing customer needs and market conditions. This may include being able to scale production up or down quickly in response to changes in demand or offering custom solutions to meet specific needs.
A great manufacturing company will be innovative and constantly seeking ways to improve their processes and products. This may include investing in new technologies, implementing lean manufacturing principles, or developing new products and services.
In conclusion, both OEM manufacturing and in-house production have their own set of benefits and challenges. Companies must carefully weigh the pros and cons of each approach to determine the best fit for their needs.
If you are looking for a great OEM manufacturer that check all the boxes of the aforementioned criteria, look no further than Shield Works. Our transparency, flexibility and integrity are proven by our over 17 years in the industry and our IP-Protective Production Zone. Contact us now!
6 Benefits of Purchase Order Consolidation for Your Business
Supply chain management is an industry growing at an 11% rate today. The way that you take care of your warehouse and manage your shipping and orders will help you with your company’s efficiency and productivity.
Order consolidation is one of the best steps that you can take to make this a reality. What are some of the benefits of using this service to your advantage? We’re happy to explain.
These tips will help you handle purchase order consolidation on your terms.
1. Your Business Will Become More Efficient
With purchase order consolidation, you’re combining numerous orders into a single one. This means that it’ll have one purchase order number, along with all of the necessary details for each.
When you consolidate your orders, the first thing you’ll notice is that your business immediately becomes more efficient. It’s only natural that your business will become more organized and efficient when you whittle down a few hundred orders into a single one. You lighten the load of your workforce since people won’t have to expend as much effort and energy tracking smaller orders.
Understanding warehouses and 3PL technology will make sure that your orders get to their destinations without a problem. Creating a single purchase order also means that you’re getting a consolidated shipment, which streamlines the way you run your company and cuts down on a lot of the waste that you create.
2. You Lower Your Costs
By making your purchase orders more efficient, you’ll also be able to reduce your company’s operational and overhead costs. Operating a consolidation warehouse lightens your expenditures so that you get a better return on investment (ROI) and are able to get a better handle on your finance.
You’ll get to lower your holding costs, which makes your company more profitable and effective as a whole. It also reduces your monthly expenses, since you’ll get a better handle on how you send purchase orders to your regular clientele. A company that is being run better as a whole will also be more cost-effective. This lets you scale your business in a way that makes sense for you.
3. Shipping Becomes Quicker
Your shipping time is one of the most critical pieces of the puzzle. Taking your orders from acknowledgment to sorting, to minimizing packaging time, to shipping is an art and a science that will increase customer satisfaction when you get it right.
Today, you’re competing with companies like Amazon and third-party service apps that get products to customers’ doors ASAP. You’ll provide for your customers so that you can generate repeat business and referrals. This makes people more likely to support you long-term.
You will have access to better shipment tracking and will be in a position to fulfill each order in a timely fashion no matter what is happening in your industry or the supply chain as a whole.
4. It’s Easier to Manage Your Inventory
Purchase order consolidation is also helpful because you will get a better handle on your inventory. You’ll be better able to manage your inventory stocking and you’ll appreciate that your shipping becomes more sustainable. Businesses today are moving toward eco-friendliness in all regards, and are also being incentivized for doing so.
Making your shipping process greener lowers your carbon footprint and can even open you up for tax breaks and certifications. In addition to handling your inventory better, you’ll also be better able to manage your fleet and order transportation options.
This lowers the amount of fuel you consume, reduces costs, and ensures that your orders get from Point A to Point B in no time.
5. You’ll Increase Your Order Accuracy
The last thing you want is to have numerous returns to process. Making mistakes can be costly, because inaccurate orders lead to more returns, more time wasted, and less trust in your company. Purchase order consolidation increases your accuracy significantly so that you’re not running into as many issues.
The system brings in checks and balances so that you know that your orders are being handled as accurately as possible. It creates less work for your team and makes sure everyone gets to stay productive without having to double and triple check orders or go back and correct so many mistakes.
6. It Lets You Leverage Your Buying Power
When you consolidate your resources, save money, and make better decisions, your company will also have more buying power. You’ll be able to choose the ideal vendors to work with and will get more bang for your buck with each purchase.
Your company can become more liquid and you’ll be in a better position to leverage each opportunity that comes your way. This also helps you to strengthen your relationships within your industry and do business long-term with the companies that you trust most.
Understanding Purchase Order Consolidation
These tips will explain why purchase order consolidation is the way to go for your business. These six points allow you to do better business and keep your company profitable for years to come.
Regardless of what sort of industry you’re in, make sure that you also shop for the tools and systems that allows you to put these benefits to use. We’d be happy to assist you with your storage, shipping, and logistics optimization.
Shield Works Precision Manufacturing can help you with all of your warehouse and fulfillment needs. Take the time to contact us on our website or by calling (650)666-0050 for more information.