Information is becoming accessible due to the easy distribution methods available, which makes safeguarding your intellectual property when manufacturing in China a challenge.
No matter what stage of business you’re in, protecting yourself from those who would steal your ideas should be the top priority for any entrepreneur out there.
So, let’s take a closer look at this hot-button issue and how we can learn to cope with it.
1. US IP Law Does Not Guarantee IP Protection In China
The United States has some of the strongest intellectual property rights (IPR) laws in the world. However, these laws do not guarantee IP protection in China.
You might have your trademarks, patents, and copyrights registered in the US, but this would provide you with no protection in China if there are any IP issues happen.
So you have to be proactive about protecting yourself.
Try to address your IPR with your contract manufacturing partner in China at the very outset – for too many Western companies it wasn’t until they suffered consequences later that they realized their mistake.
2. Conduct Background Checks
The first step is to conduct a background check on the company and individuals you’re looking to partner with.
This will help you get a sense of their business practices and whether or not they’re reputable.
You can look it up online by yourself or ask for references from others who have used the contract manufacturing services in China.
There are many IP theft stories online that people share about their experiences working with Chinese manufacturers, which could serve as a warning to you.
It’s important to understand that IP protection can vary significantly depending on where the manufacturer is located and what type of industry they work in, so don’t rely solely on one method to safeguard your intellectual property (IP).
3. Create A Confidential File
Before finalizing a manufacturing supplier, you have to create a list of confidential files with product details like drawings, descriptions, production plans, and prototype update records.
When you need to discuss the manufacturing process with your chosen contract manufacturer in China, avoid sending your original product drawings or product descriptions.
This is one of the easiest ways for someone in the manufacturing company to steal your intellectual property (IPR).
If you absolutely must, send digital copies that can’t be easily reproduced. You can also consider watermarking them or sending them as password-protected files.
Also, make sure you have added dates wherever possible because the first date of use is critical in IP matters.
4. Create Confidentiality Agreements
The next best thing would be to have a written IPR agreement with your manufacturing factory and any other partner companies involved in the process so that all parties are aware of how you want it handled from start to finish.
You have to sign an NNN agreement with your supplier, which means Non-disclosure, Non-use, and Non-circumvention. It is a legally binding contract between two parties in which one party agrees to protect the IP rights in China.
By having your partner sign NNNs, you can help protect your company’s confidential information.
Furthermore, make sure to review and inspect any agreements made with local manufacturers before signing. If you do have a dispute, they may only address it in the Chinese version of the document which could give them an unfair advantage over you.
5. Engage with the Chinese IP Regime
There is no such thing as international protection for your intellectual property.
If you think highly of your IP, make sure to protect it thoroughly. You need to get it protected in China by filing your patents, trademarks, and copyrights with local authorities such as:
- China National Intellectual Property Administration (CNIPA)
- Trademark Office of China National Intellectual Property Administration
- National Copyright Administration of the People’s Republic of China (NCAC)
- Ministry of Commerce, People’s Republic of China
Remember to research the relevant IP regulations in China because they may differ significantly from your home country. Also, remember to have everything properly translated into Chinese because only these translated versions will be held as valid.
Are You Looking For A Contract Manufacturer In China You Can Trust?
Registering your intellectual property in China and the United States does not always guarantee its protection. One thing to remember is that enforcement of these laws can be unpredictable or time-consuming.
Ultimately, it all depends on who you’re working with and the kind of relationship you’ve established, which means careful consideration needs to go into choosing a Chinese contract manufacturer if they’ll work intimately with your company over an extended period.
Once you’ve selected one, it’s imperative that both parties set up clear processes for protecting your intellectual property at every stage of production or else risk losing it entirely.
Now, if you are looking for a reliable and professional contracting manufacturer in China, try to work with us Shield Works.
Over time, we have developed a list of IP protective methods at our custom manufacturing and precision assembly facility that has proven 100% effective at preventing IP infringements.
- We have state-of-the-art fingerprint access secure production zones to protect your interests and provide full IP protection at the source of manufacture.
- We have legally binding NDAs with every external body that we may work with during the process of your assembly line to ensure this is protected.
- We partner with Innopat, a leading Zhuhai-based IP industry expert to provide our clients with clear, no-nonsense advice and IP protection services.
Shield Works is a British-owned and managed contract manufacturing company in the South China Greater Bay Area, providing complete custom manufacturing and precision assembly services for western companies who are fed up with poor product quality, lack of transparency, and are worried about the reliability and delivery time from their Chinese suppliers.
We attribute our success to the dedication and expertise of our engineering team who is highly qualified and experienced. With over 15,000 projects completed, we’ll provide you with tailored advice, based on your situation. Tell us about your project and get a quote!
Your customers are cautious when it comes to trusting your brand with their hard-earned money, especially if you’re new on the market. But offering them high-quality products that solve their problems and make their lives easier goes a long way toward building their trust in you and your brand. If you’re having trouble manufacturing products that meet this high standard, consider manufacturing them in China, where companies like ours can offer you extensive expertise in product development and production. Here are five reasons why doing so will help you earn your customers’ trust.
1) Manufacturing as a service
When you outsource your product development to a contract manufacturer in China, you’re getting more than just a manufacturing partner. You’re also getting access to a wealth of knowledge and experience that can help you create a product that meets and exceeds your customers’ expectations.
A good contract manufacturer will have a team of experienced engineers who can offer valuable insights into the design and manufacture of your product. They’ll also be up-to-date on the latest manufacturing technologies and trends, which can help you create a cutting-edge product.
Additionally, most contract manufacturers in China have established relationships with suppliers, which can give you access to high-quality components at competitive prices.
2) Always-on customer service
In today’s world, customers expect 24/7 access to customer service, no matter where they are or what time it is. By partnering with a manufacturer in China that offers always-on customer service, you can be sure that your customers will always be able to reach someone when they need help. This can help build trust and loyalty, both of which are essential for any business.
Also, manufacturers in China provide your customers with high quality products, which reduces the chance of filing a complaint to customer service to begin with. When manufacturers are focused on producing only high-quality products, the product development process becomes more streamlined and efficient because there’s less risk of defective products making it to the marketplace.
3) Transparency and flexibility
When it comes to manufacturing, Chinese manufacturers are known for their transparency and flexibility. This means that you can be sure that your products are being made to the highest standards possible, and you get to monitor the whole process.
Many of the production facilities in China are well equipped with a surveillance system that offers you access to the process anytime of the day. If anything goes wrong, you won’t need to worry about being shielded out. Your factory is just one Skype call away! Some of these factories also offer an on-site consulting service where they’ll give advice on how to increase efficiency and quality at your plant.
Another perk? They will often offer training courses at their facility so that employees at your company can learn new skills while they’re there.
4) Customization and Personalization
In today’s market, customers are looking for a personalized experience. They want products that are tailored to their specific needs and preferences. By working with manufacturers in China, you can create products that are truly unique to your brand. This will help you stand out from the competition and make a mark in consumers’ impression.
If your competitors are using generic items that have been sourced through a third-party company, they’re not going to be able to offer this kind of customization. Manufacturing in China allows you to cater specifically to these wants and desires so it gives you an edge over the competition.
It’s important to note that, with a Chinese manufacturer, you don’t have to invest heavily into personalization from day one. Start small and build your way up so you can expand as necessary. If a company is able to add some flare or customize a product without it affecting their bottom line, they will be more willing to do so over time. Just knowing you’re listening closely to consumer demands gives customers confidence that you’re paying attention and want them back for future purchases.
5) Testing before shipping
Any good manufacturer will test products before shipping to ensure they meet both the quality standards of the company and the customer’s expectations. In addition, manufacturers in China have a reputation for being able to quickly adapt to new designs and requirements, which can be extremely helpful when your product is still in development.
Furthermore, many Chinese manufacturers offer very competitive prices without compromising on quality, which can help you save on costs. Finally, by working with a Chinese manufacturer, you can be sure that your products will be made with the latest technology and equipment available.
If you insist in inspection all the way through, it’s very common in China to hire a 3rd-party inspection for quality control. There are some experienced inspectors who are well-known and trustworthy. Once production is completed, the factory may ask the inspector to come in and do final inspection according to your requirement such as checking if there are any broken parts or other defects. After approval from the inspector, they ship out goods immediately.
Earning trust is a lasting process. With a reputable Chinese manufacturer, you will rest assured every step of the way. Shield Works is one with a great reputation for its 17 years of experience with global retailers. Contact us for more!
In the last few decades, the Chinese economy has grown incredibly fast. One of the big reasons for this is because Chinese companies manufacture a considerable amount of products for western companies.
If you want to reduce production costs and grow your business, it makes a lot of sense to work with a China manufacturer. Given that you’d be working with a foreign company, the process can feel overwhelming.
So what exactly do you need to look for to make sure you find the right company for the job? This article lists some of the things you need to consider before signing a contract with a Chinese company.
Do They Have Certifications?
When you work with Chinese manufacturers, you need to be sure they have the right certifications. This helps to make sure you can rely on the company. If the China assembly service doesn’t have certifications to show you, it could be a red flag.
Always make sure you get proof of the correct documentation. A good company should be more than happy to provide proof.
Are They Financially Stable?
It’s also important that you work with product assembly services in China that are financially stable. The reason for this is simple. If the company goes out of business during production, it causes you a lot of problems.
A good Chinese product production company will be financially stable enough that you can rely on them to consistently deliver the product. You can find out if a company is financially stable by asking them about its finances. You should also verify what they say by researching the company.
Do They Offer Any Additional Services?
When looking into product assembly in China, you should also look for companies that offer multiple services. Many manufacturing companies in China offer other additional benefits, such as graphic design or packaging design.
This means that the company could deliver your product fully packaged and ready to go. Working with a company that offers such additional services can save you a lot of time and money in the long run.
You should take the time to analyze exactly what your company needs. Then see if you can find a Chinese manufacturing company that can meet all of those needs. When you’re only dealing with one company for a variety of services, it can really streamline your production process.
How Big is the Company?
You should also pay attention to the size of the company. While you might be tempted to go for the biggest company possible, this isn’t always the best choice. If you’re a small business, it may make more sense to go with a small or medium-sized manufacturing company.
As a small company, you’d probably be a much lower priority for a large company. On the other hand, if you go with a smaller company, they’ll have much more time to focus on your manufacturing job.
Before signing a contract, make sure that the company you’re considering doesn’t work with many big clients.
What is the Minimum Order Quantity?
You’ll also need to figure out if there’s a minimum order quantity. Many Chinese manufacturing companies will only work with you if you want to produce a certain number of units.
For larger businesses, this isn’t usually a problem, but for a small company, it could be problematic. Always make sure you confirm the minimum order quantity before you start doing business. This makes sure you won’t face any nasty surprises in the future.
Also, beware that if you work with a larger manufacturing company, they may implement a minimum order quantity later on in the business relationship.
Do They Have Good Quality Control?
When working with a Chinese manufacturing company, quality control is key. If the company sends you products that are not up to standard, your profit margins will decrease.
While Chinese manufacturing companies had a bad reputation for poor quality control in the past, they’ve gotten much better in recent years. If you work with a reputable company, you should have no problems getting quality products delivered.
Manufacturing companies should also have policies in place to reimburse you if some of the products are not up to standard.
Can They Provide a Product Sample?
Working with a foreign manufacturing company is always a risk. That’s why you should ask for a product sample before you commit to a serious business relationship.
A good manufacturing company would be more than happy to provide you with sample products. They should also be receptive to your feedback. It’s not uncommon to go through a few prototype examples before you get something you’re happy with.
Beware of any companies that aren’t willing to provide samples as it suggests they might not be a company you can rely on.
Check Out Reviews and Get Recommendations
You should also make sure you check out reviews of a potential company. These days a huge range of businesses use Chinese manufacturing, so you should find no shortage of online reviews.
You should try to verify the legitimacy of these reviews to make sure they’re not fake. You might also consider talking to other business owners you have a relationship with. Recommendations from friends are worth a lot as you know they’re genuine.
A China Manufacturer Can Grow Your Company
If you’re looking for a way to take your company to the next level, a China manufacturer makes a lot of sense. If you want to make a reasonable profit, you’ll need to find a way to keep costs down. Chinese manufacturers allow you to do exactly that.
If you want to work with a company with a lot of experience in working with Chinese manufacturing, contact us today, and we can help you to grow your business.
For some western companies considering overseas production, they may want to open up a permanent factory in the country where they wish to operate. For others, there are many options for short-term factory operations without investing too much time or money into it. These factories can be found easily in China—a country that provides what is needed for this type of business.
Working with an overseas partner can be quite daunting, but there are ways to navigate these situations successfully.
To make this decision easier for you, we will explore the nuances of contracting work out to a Chinese manufacturing company and what you might expect from such an arrangement – whether it’s just for one new product or if you’re considering scaling up your production globally. Let’s dive in!
What is Contract Manufacturing?
Simply put, contracting manufacturing is when one company hires another to build components or parts on their behalf over a specific period and at an agreed-upon price.
This enables a company to start producing its products without having the huge amount of resources or the funds necessary to build and run a factory.
Different Kinds Of Contract Manufacturing In China:
There are many different types of contracting agreements between companies that engage in contract manufacturing in China. These range from simple to complex and can be broken down into 3 main categories:
1. Private Label Manufacturing
Under a private label manufacturing agreement, the contract manufacturer delivers an item to the client’s inventory warehouse or directly to the store for them to sell under their brand.
In this way, the entire private label manufacturing process is outsourced. The client has full control over designing, marketing, and managing other aspects of their business.
2. Individual Component Manufacturing
Component manufacturing is known as a one-time service, which is generally used to refer to producing specific, individual components.
In individual component manufacturing, contract manufacturing is only responsible for producing one component that will eventually become part of a larger, more complicated final product.
For instance, basic components such as lifting bolts can be manufactured in bulk – this lowers costs for the manufacturer because they are produced to the same specifications.
3. End-to-End Manufacturing
End-to-end manufacturing is a process where products go through every stage of production under one roof.
Of course, that’s not to say there are no outside vendors. There are things like raw material sourcing and shipping handled by external companies.
End-to-end manufacturing is more about the process, rather than the materials. It leaves more control for the client company in regards to design, quality control, and other details.
Working With A Quality Contract Manufacturer In China
There are many benefits of working with a contract manufacturing company in China. Here are a few of the best.
1. Reduce Overall Costs
Across almost every industry, businesses cite this as their number one reason for outsourcing production to China.
Outsourcing allows access to existing facilities and trained professionals, saving time and money in the process. You only pay for the final product exactly what you need, which means you can stick to a smaller and more manageable budget.
Although having your factory is a good way to get exactly what you want, outsourcing to contract manufacturing can be a smart try if you are new to this field.
When it comes to contract manufacturing, flexibility is another important factor you should keep in mind when choosing a supplier.
With numerous factories and workers in the manufacturing industry, you can reach out to your manufacturing partner at any time if there are any changes you need to make.
3. Fast Production
When you partner with a reputable Chinese contract manufacturing supplier for your products, you’ll be able to save more time.
Working with an experienced manufacturer means that not only will your products get manufactured quicker, but they’ll also be done well – because the company has invested in its facility over the years to perfect its production process.
They’ll handle every aspect of product development and manufacturing, allowing you to bring them to the marketplace faster so you can generate revenue right away.
When to Choose a Contract Manufacturer
Manufacturing in China has been proven to be an effective and cost-effective way for many Western companies who can’t compete with wages in other countries and regions.
Though contract manufacturing is often a wise choice, it doesn’t necessarily make sense for all businesses. Here are some things to keep in mind before considering it an option for your company.
- Doing due diligence
- Checking qualifications
- Comparing manufacturing capabilities
- Dealing directly with the contract manufacturer rather than a middle-man
- Conduct product quality
Find A Reliable Contract Manufacturer In China
In recent years, as China’s economy has entered a new era, it has transformed from the low-end to the high-end of the manufacturing industry.
There has been such an increase in the number of production plants becoming less labor-intensive and even more quality driven.
Still, choosing a perfect manufacturing company in China may not be easy. So It’s better to work with an established and reputable company that specializes in manufacturing for years.
Now, if you are ready to start making your products in China, try to work with us Shield Works.
Shield Works is a British-owned and managed company in the South China Greater Bay Area. We specialize in product design, prototyping, manufacturing, and product assembly for clients from all over the world.
We attribute our success to the dedication and expertise of our engineering team who is highly qualified and experienced. With over 15,000 projects completed, there is no wonder why we’ve been able to achieve success. Contact us for a no-cost consultation!
Entrepreneurship lives in the American Spirit as surely as independence, as evidenced by the approximately 32.5 million small businesses across the nation. Yet, despite that independent, entrepreneurial spirit, business is a collaborative endeavor.
Let’s say you design a new product and want to take it to market. Unless you plan on manufacturing every single part in that product, you’ll rely on parts produced by others. When customers need replacement parts, where do they turn?
Both of these problems are solved by using an OEM or original equipment manufacturer. Not clear on what an OEM manufacturer is, does, or how to pick one? Keep reading for our breakdown of the OEM’s role and tips for selecting one.
What Is an OEM Manufacturer?
An original equipment manufacturer fills a specific niche in the world of goods production. They make parts that other companies use to finish their products.
Take electronics production as a case in point. Almost every piece of electronics and, these days, most electrical appliances use circuit boards. While the electronics company may design the circuit board, most of them rely on other companies that specialize in printed circuit board manufacturing to produce the actual boards.
You see similar cases in car manufacturing. Auto manufacturers buy parts like glass and radios in bulk and install those parts in their vehicles.
How Does OEM Manufacturing Work?
OEM manufacturing typically works in one of two ways. In the first case, the OEM manufacturer produces a part in bulk that lots of other companies use as designed.
For example, a ball bearing manufacturer might simply produce ball bearings in a set of specific sizes and materials. Businesses that need ball bearings will design their products around the available sizes and buy from that company. The ball bearing manufacturer is an OEM manufacturer because all of the other businesses use their products as is.
The other option is when a business works directly with a contract manufacturer. In those cases, the business typically needs a custom part that they can’t get elsewhere.
For example, a product might need a part with a specific level of precision. While similar parts might be on the market, they don’t meet that level of precision. The business will then work with the contract manufacturer to design and make the part to the right level of precision.
OEM vs. Aftermarket
You traditionally see OEM contrasted with aftermarket manufacturing. Aftermarket manufacturers make parts that work with a product but were not made by the OEM.
These parts often perform as well as OEM parts, but not always. In some cases, such as car parts, aftermarket parts are generally considered generic or cheap stand-ins for OEM parts.
Selecting an OEM
Selecting an OEM might look simple on the surface, but it’s a fairly complicated process for businesses. Let’s take a look at some of the biggest factors you need to keep in mind.
OEM manufacturers tend to specialize. For example, they may specialize in working with particular industries.
Let’s say that your business produces food preparation equipment for restaurants. A lot of food prep equipment is made from specific grades of stainless steel. Minimally, you want an OEM that works a lot with steel and, preferably, one that has experience with production equipment.
That experience on their part will save you a lot of headaches because you won’t need to walk them through why you’ve chosen a particular material for a part.
On the other hand, let’s say that you make toys. In that case, you probably want a company that deals a lot in plastic extrusion and has experience with toy production. In that case, as long as they understand safety requirements for toys, they can offer you recommendations about materials.
In many cases, one of the biggest factors is whether the OEM can offer customization services for your part. Most contract manufacturers will offer some level of customization, but the service may prove limited in some ways.
For example, they may only offer customization for certain kinds of materials or processes. You should do a little research and even contact the companies in advance to get a handle on what kind of customization services they offer.
Another factor you must keep in mind is the overall cost. Manufacturing is an expensive proposition, but it’s often substantially more expensive to do OEM manufacturing domestically. The labor and overhead costs for the OEM are just higher when they operate in the US as opposed to overseas.
You can often find OEM manufacturers in China that will cost you less, even when you add in the shipping costs. While part costs aren’t the only concern, they can make a real difference in your per-unit profits.
If you can get the parts made to your specification levels for less, it’s practical to do so.
You must also keep an eye out for production minimums. Depending on the company, they may require that you order a certain number of the parts before they’ll even consider taking you on as a client.
For example, some companies might require a minimum order of 500 parts, while others might require a minimum order of 5,000. Given that setup is often the most expensive part of setting up a production run, these minimums make sense. Yet, the order size minimum for a company might prove higher than you need or want.
OEM and You
An OEM is often the best and only solution for businesses that need specific, customized parts. Of course, picking the OEM is often the bigger challenge.
You must consider many factors. Does the OEM have experience in your industry? What are the overall costs?
Does the OEM offer customization services that meet your needs? Will you meet the minimum order threshold for a company? When you need a part made just so, however, there is no replacement for a good OEM partner.
Shield Works specializes in OEM manufacturing. For more information about our services, contact Shield Works today.
If you have a great idea that you think it’s feasible and a desire to turn it into reality, you can make the jump and create something great out of nothing.
You may still have some questions:
- How do I find a manufacturer for my product?
- How much will it cost me?
- How long will it take them to produce my orders?
Whatever it is, for starters, you have to know that there are a lot of factories that are waiting out there who are dying to produce your dream products.
If you are still struggling with the idea of whether or not to outsource manufacturing your products to China, here are 5 steps to manufacture your products in China. Let’s begin!
Step 1: List All Your Needs
You might have a good idea of how to develop and operate a small business, at least you think so. But maybe you are not quite sure how to get it done.
By far, the most common question we get after 17 years of helping international businesses to move their production to China is “What do I need to provide to get an estimate quote from a manufacturer?”
Maybe you also have this question, right?
Well, to answer this question, you have to understand the manufacturing process. Each product is made based on its materials and complexity, and the processes needed to meet the required specifications.
This is important: having every detail mapped out before contacting any potential manufacturers will make it easier for you and the manufacturer to have an accurate quote.
In fact, at Shield Works, we generally work with a lot of overseas entrepreneurs who have a detailed plan for their products.
Most of our clients understand the gap between current demand and reality, so they try to find a perfect niche to expand their businesses. And they also understand their requirements will vary based on certain orders. So try to let your prospective partners know your product plan ahead of time. It’s also important to keep costs down while still meeting all requirements necessary.
By knowing where your priorities lie before approaching any potential manufacturers, everyone will be aware of what is possible and what isn’t without too much lost time or money later on in development.
Step 2: Build A Product Prototype
Whether you are new to the product manufacturing industry in China or a seasoned veteran, you have likely heard of the concept of product prototyping.
In short, product prototyping is the process to create an initial product to test the function and user experience based on what you will see in this tangible form. It’s also an essential phase that shouldn’t be ignored.
Typically, there are two approaches to creating a physical prototype for your product.
3D printing has a significant influence on the mandating industry.
Using this technology, you can mass produce prototype samples quickly by simply inputting some simple information using a process known as rapid prototyping.
3D printers are best suited for industries that need frequent and disposable prototypes to represent something visually – including jewelry, clothes, and consumer goods.
CNC is an abbreviation of Computer Numerical Control, which allows you to create near-perfect replicas of your product.
Also, it’s a good idea to use the CNC prototypes to showcase a simple demo of your product to potential clients, which can help you gather feedback and suggestions in order to improve the product.
CNC prototypes are ideal for products such as industrial equipment, medical devices, etc.
Step 3: Confirm Your BOM
A bill of materials, also known as a BOM, is the comprehensive list of all required parts, items, raw materials, and assemblies that you need to manufacture a product.
A BOM is one of the most important documents for a custom manufacturer—think of it as a recipe—as it includes all of the components and steps you need to take to manufacture your product.
Typically, BOM is usually split into 2 categories, EBOM (An Engineering Bill of Materials) and MBOM (Manufacturing Bill of Materials)
EBOM is used primarily by engineers when they design a product and is often created in a CAD (computer aided design) system.
While the EBOM deals with product design, the MBOM or Manufacturing BOM deals with product assembly which is more detailed than EBOMs in both structure and depth.
MBOMs need to include a line for every material required part or assembly on the supply chain, along with instructions on how the part is to be used.
To have a better understanding of these two terms, let’s take a look at this example:
If the product you are building needs 12 of a certain type of screw, then each individual screw will be listed in the MBOM. Conversely, the EBOM will only list a line where there are 12 total screws needed for production.
Providing an accurate BOM allow your manufacturer to deliver products on time and buy at the best rates for materials and components, thus saving you both money and time.
Step 4: Be Careful Of The Quality
If you have a product prototype on hand, and you have every problem fixed, you’re already halfway there.
After mass production, you should always make sure to avoid common pitfalls with product quality.
Poor-quality products will only hurt your business and tarnish your brand.
If you don’t want to waste your time and money on the long process of product creation, and want to stand out from other brands, it’s better to invest in quality control and customer experience. Otherwise, you may compete on price or delivery options.
To avoid quality problems as much as possible, here are three keys points you should keep in mind:
- Be clear and concise about your product requirements and expectations.
- Investigate and work with your manufacturing supplier to ensure your product complies with the regulations of the final market.
- Follow up throughout production and communicate effectively.
In short, it’s easier than trying to fix things later on!
Step 5: Find A Reliable Manufacturer In China
Manufacturing in China can be a daunting experience for any overseas business. Though the overall process may be similar, the technique and equipment vary from company to company.
Also, selecting a manufacturing company in China can be quite difficult. So It’s better to work with an established and reputable company that specializes in manufacturing for years.
Now, if you are ready to start making your products in China, try to work with us Shield Works.
Shield Works is a British-owned and managed company in Zhuhai City, Guangdong Province, South China Greater Bay Area. We specialize in product design, prototyping, manufacturing, and product assembly for clients from all over the world.
We attribute our success to the dedication and expertise of our engineering team who is highly qualified and experienced. With over 15,000 projects completed, there is no wonder why we’ve been able to achieve success. Contact us for a no-cost consultation!
China has been the production powerhouse of the world for a few decades and now is churning out products at an ever-increasing rate.
With so many overseas companies turning to Chinese manufacturers, it still can be hard for some of them to find a reliable and professional manufacturing plant that meets all their requirements and standards.
This article will explore some reasons why finding such a manufacturing partner in China is difficult, as well as offer advice on how to do so successfully.
If you’re an overseas company looking to make your first foray into the Chinese manufacturing world, this information could be critical to your success. Check out the five reasons why it’s hard to find manufacturing partners in China and start building your own business there today!
1. Factories Don’t Have Websites
With the development of the Internet and related technology, it’s pretty standard for companies to have some sort of online presence. This is especially true for manufacturing companies who want to show off their capabilities and reach more global clients.
However, many Chinese factories still don’t establish their websites. This can make it difficult for foreign companies to research potential partners and get a sense of their work.
Cost and human resources are the other two main reasons why smaller businesses would avoid setting up their websites.
Though these small and medium-sized factory owners may find the idea of having a website intriguing, many do not have enough money for both technologies and for hiring someone to set it up. Also, this could be way too expensive for them when compared with how much revenue the business generates annually or if there is even potential for any return from this investment at all.
2. Difficulty with Language
One of the main reasons it can be difficult to find a reliable manufacturing partner in China is the language barrier.
Commonly, most staff working at most Chinese factories don’t use English as their first language. Typically, most factories hire a few employees who can speak English to work with foreign clients, but there’s no guarantee of their English ability.
Communicating clearly to your Chinese supplier will make things easier for both parties involved. Don’t just rely on letters or phone calls, but show them what you want and need, and ask them to list them back to you in an understandable format.
The key to clear communication with your factory representative is clear, simple, and open. Even when you are communicating with someone who has a good grasp of spoken English, it’s best not to simply send them product specifications through email and assume they will understand all information without questions. Because sometimes people need clarification due to cultural differences or what they’re used to manufacturing versus what you want.
3. More Factories Are On 1688
Whether you are running a brick-and-mortar or an online retail shop, if you want to import products from China, then Alibaba can be a good start to reach out to many manufacturers.
However, if you think you get your desired goods at the best rates on Alibaba, you’d be wrong. There’s another B2B platform out there that boasts significantly more manufacturers providing lower prices for the same goods
That’s 1688. com.
1688 is the biggest and most popular Chinese wholesale platform that covers all manner of different goods including apparel, industrial equipment, home appliances, and more. Dozen of manufacturers sell their products directly on this platform rather than working with other trading companies. Some trading companies reach out to factories and then go on to resell their goods at higher prices on other platforms such as Alibaba, Aliexpress, Gearbest, etc.
So you may also want to find your ideal factory on 1688 right?
Yes, of course, you can. The only issue is that everything is written in Chinese, which helps cater to China-based manufacturers. It will be hard for those who don’t know any Chinese to locate a proper company to work with. And there are simply too many listings, products, and suppliers, it can be way too much to weed through, which makes it difficult for you to reach out to a reliable partner for your business. Additionally, as a domestically oriented website, they offer few payment options, such as Domestic Bank Transfers, Alipay, and WeChat Pay, which won’t allow international sellers or buyers access easily.
4. The Fuzzy Definition of Quality
When it comes to finding the best factory for your production project, quality is one of the most important paramount you need to pay attention to – but getting it right isn’t always easy.
Overseas companies often find themselves having difficulty defining product quality when looking for a Chinese manufacturer because everyone has their own opinion about what constitutes “high quality”.
Asking 100 factories about their concept of product quality nets you 100 responses. Some factories would say that quality means products meet all their in-house specifications and requirements; some mean there are no defects present and they comply with international standards; others make sure products are fully functional straight out of the box.
It’s hard enough trying to decide who has the highest level of product quality without this uncertainty over what exactly quality even entails making decisions even harder.
What’s more, every customer has different standards, and what may be considered high quality to one won’t always be accepted by someone else.
Overseas companies in other countries often have their own specific needs when importing goods, which makes it hard for factories in China to know exactly what they need to do to satisfy their customers’ requests.
It can be frustrating, right? Don’t worry.
International Quality Standards like the ISO family and IATF 16949 are essential for making high-quality products. These international tools can help you control costs, simplify compliance, and guarantee safe, dependable products.
5. Lack of Trust
Many foreign companies are hesitant to work with Chinese manufacturers because they lack trust.
From the supplier perspective, the main reason is cultural differences and a lack of understanding of the Chinese business landscape. China has seen an upsurge in small-to-medium-sized factories over recent years and they often rely on word-of-mouth referrals from individuals who share common needs to increase their customer base.
Typically, many of these small and medium-sized factories have established relationships with local networks that are other factories or trading companies, and they focus on making products for these domestic partners.
On the other hand, there have been numerous stories in the online forum or other social platforms saying that about Chinese factory’s stolen intellectual property or delayed deliveries which dissuade overseas businesses from partnering with a factory. This makes it hard for companies to take the leap of faith and partner with a factory in China.
The best way to overcome this problem is by building a relationship with the company you’re interested in working with. The more time you spend getting to know them, the more likely you’ll be able to build up that necessary level of trust so that your overseas company can get what they need from them.
Need Professional Help With Your Manufacturing Project?
Finding the right manufacturing plant for your project is quite a task. It takes extensive research before deciding to ensure you are getting the best deal.
To find a professional contract manufacturer in China, look no further than Shield Works.
With our British ownership and management background combined with manufacturing knowledge, we keep quality at the forefront. You don’t have to worry about any defective products coming out of our doors. As one of only a few businesses able to boast 17 years’ worth of experience under their belt in China and helping over 15,000 previous clients complete projects successfully and cost-effectively, we’ll provide all your questions answered on how to manufacture in China! Contact us to discuss your project today!
Outsourcing has stayed popular through the upheaval of the pandemic, with roughly 300,000 jobs outsourced from the US every year. It’s a way for businesses to access global expertise and resources, all while cutting costs at home. And in an industry where cutting-edge technology is necessary to do the job right, it could change the game for your business.
With precision assembly, you need assembly services you can trust. Your standards need to be high, which can make finding the right services a real challenge.
If you’re struggling to find the right assembly service provider, have you considered outsourcing?
Keep reading, and we’ll tell you exactly what to look for when outsourcing your assembly work.
If outsourcing makes you nervous, don’t let it! There are plenty of great reasons to consider assembly outsourcing. Here are a few of the best.
Across almost every industry, businesses cite this as their number one reason for outsourcing. When you outsource, you don’t have to pay full-time wages to employees at home. You only pay for exactly what you need, which means you can stick to a smaller and more manageable budget.
When outsourcing assembly work, you can also save money on the equipment and facilities you would otherwise need. Setting up a precision assembly facility can be difficult, expensive, and slow. But when you outsource, you gain access to existing facilities, along with workers who know exactly how to operate them.
Staying on top of new developments in technology can become expensive when you own your own assembly facility. But when you outsource, you don’t have to take responsibility for upgrading your equipment to the latest standards. Your new outsourcing partner will do that for you.
It’s in their interest to make sure their equipment and resources are up to the highest standards. Your business won’t be the only one they work with, so by making sure their facility is up to the minute, they’re ensuring that all the businesses they work for receive the best possible work. It’s also a great benefit to their reputation as they look to secure new outsourcing contracts.
Do What You Do Best
Outsourcing means that your business can focus on its core competencies, whatever that means for you. You can leave assembly in the hands of experienced professionals, while you dedicate your attention to sales, development, and marketing at home.
By freeing yourself up to do what you do best, you can ensure that your business delivers the best possible service. Meanwhile, you can trust that skilled experts in the industry will handle assembly. Some outsourcing partners may even take care of logistics, too.
What to Look For in Precision Assembly Services
If you think outsourcing might be right for you, it’s important to know what to look for as you search for the right service. Here are a few things to keep an eye on when weighing up potential new facilities.
The techniques used in precision assembly are always evolving, and your facility needs to match its pace. Finding a facility that keeps its technology and equipment up to date can save you both time and money. It will prevent any delays caused by the need to upgrade equipment, meaning you can fulfill your orders on time.
Look for a facility that has proven expertise in the industry, but don’t stop there. You also need to make sure they have the means and the willingness to innovate. If your facility of choice knows of a more efficient way to get the job done, they should be prepared to tell you and apply it to your manufacturing process.
Does the facility you’re considering actually understand what you’re making? Can staff make adjustments to your designs as needed? If the answer to those questions is yes, you may have found a service you can trust.
This level of insight into your production shows real experience in machining and assembly, and it’s a good sign for your ongoing partnership. That expertise can also act as a great failsafe, increasing the likelihood that workers will catch any errors in the product designs before it’s too late.
Can the facility really do what you’re asking it to do? Does it have enough staff, resources, and equipment to meet your production deadlines? And if you want to scale up in the future, will the facility be able to accommodate you?
Even at these early stages, it’s important to know the answers to these questions. Make sure you show facility managers your plans and timescales early, so they can be forthright with you about their capabilities. An overstretched facility can lead to delays, errors, and lost profit, so you could end up regretting it later if you don’t check now.
Willingness to Communicate
When you outsource, you’re trusting another company to carry out essential work on your behalf. Communication is a huge part of that trust, and so you need to be confident that you can reach facility experts and decision-makers whenever necessary.
With clear lines of communication in place, you’ll be able to communicate your needs from the very beginning of your project. That way, you can make sure the facility gets your project right on the first try.
Precision Assembly Outsourcing Made Easy
At Shield Works, we combine western standards with eastern innovation. We have 16 years of manufacturing and assembly experience in China, and we bring that long history of expertise to a wide range of projects – including precision assembly.
We’re committed to transparency, and we offer unprecedented insight into the day-to-day work of assembly. Our quality control is carried out to internationally recognized standards. Whatever your project needs, we’re prepared to go the extra mile to work with you.
Contact us today, and let’s talk about what we can bring to your precision assembly projects.
If you’re considering outsourcing production to China, there are certain things to know before embarking on the task like
- How to start?
- Who you can reach?
- What to do before placing an order?
- How much will it cost?
However, the most important thing is to make sure you are going to work with an actual factory rather than a trading company.
Why? Because when you work directly with the actual factory:
- Your spending will be less to get the same items, which increases your profit margin and reduces lead time.
- You can make changes to the product easier and quicker.
- Your product quality will be higher because you can check with your supplier now and then.
So, as you can imagine, it can be difficult to find out whether a supplier is a factory or just someone pretending to be one. Here are four tips you can use to figure this out.
1. Check The Business License
First and foremost, it’s a good idea to request a copy of your manufacturer’s business license which is called “营业执照” in Chinese.
Every legitimate company in China has a business license issued by a local branch of the Administration of Industry and Commerce (AIC). It is an official certificate, proving that the company has been registered with the authorities and operates legally.
If your potential supplier doesn’t have a business license, that’s a huge red flag. it’s best not to do any kind of business with them until they get everything sorted out on their end. No matter what they say, don’t risk your time and money.
If your supplier claims that they have a business license, it’s better to request a physical copy. It can be used as proof that your supplier is an actual manufacturer. In addition, if there is ever any dispute with your supplier, having a physical copy of their business license on file could be helpful.
Once you receive the business license, make sure you review it carefully. Keep in mind to check the business scope which should include words like “manufacture or produce” (生产，加工，制造)
if you don’t know Chinese, it’s ok.
Here is a simple way:
You can use your phone to scan the business license, extract words, and copy-paste to the Google translator. The business scope is the combination of some simple words so don’t worry about the correctness.
Verifying the business license is the first step when doing due diligence on a Chinese company. It allows you to verify that the company is legit and not a scam.
2. Check the Sample Address
Many Chinese manufacturing companies are willing to send out samples when you have a detailed plan for working with them.
One way that you can use this method is to verify if your chosen manufacturing supplier understands your requirements and quality standards.
Moreover, we advise checking the address of the sample package before disposing of it. Make sure it matches up with what is included on the business license that you requested beforehand.
If they are the same addresses, then this manufacturing supplier may well be a real factory rather than just someone acting as a middleman.
However, this isn’t always reliable.
The reason being is that some companies set up offices downtown whilst their factories are located outside of town due to cheaper rates for renting land.
In this case, even though the sample address might not be an office at that location, it still could be possible that they’re a real factory.
You have to check with your supplier to request both business licenses for the office and the factory.
3. Check the Facility Visuals
Now, many Chinese factories have the abilities and technologies to introduce themselves to the world through visualization.
Take Shield Works for example, we have invested heavily in digital presence such as
- Uploading our facility video online: enhance transparency across our manufacturing plant thoroughly.
- Creating a virtual facility tour on our homepage: show an immersive tour of our whole production environment.
- Posting images of the facility or factory tour on social platforms: keep our followers updated about our new visitors.
The reason for checking the facility visuals is that most foreign business owners can not come to China in person to make a physical facility tour to confirm the production environments, capabilities, and quality.
If a supplier tells you that they own a huge and state-of-the-art manufacturing plant, but cannot provide any proof yet, then it might be worth walking away from them until they can back up what they say with hard evidence.
By checking their facilities, you will have more confidence to build trust and reduce business risk.
4. Check The ISO Certifications
Typically, not every trading company has ISO certifications but the majority of manufacturing factories do.
This is because a factory needs some specific ISO certifications to keep operating.
However, some trading companies also have ISO certifications to deal exclusively in one product category and maintain a strong relationship with their manufacturers.
Working with such a trading company is the same as working with a real manufacturing company with a factory when it comes to price.
Meet Shield Works
When selecting a manufacturing company in China, you have taken into consideration many factors.
It’s important to list your needs and criteria before starting the process of narrowing down candidates or you risk being too hasty in making a decision without taking all necessary factors into account.
Working with a professional manufacturing company in China like Shield Works will save you time and reduce risks.
With our British ownership and management background, we take great pride in our over 17 years of international project experience and excellent team. Contact us for a no-cost consultation!
Projections show that the global automotive OEM market will reach a value of $39.503 billion by 2028.
When it comes to aftermarket car parts, the general belief is that they may be lower in quality than factory originals. Your old air conditioner, for example, finally gives out after all of these years. The next day, you head into the dealership and purchase a factory replacement for optimal performance.
Auto parts aren’t the only thing produced by OEMs – in fact, they can create all kinds of components for various industries. So how do you decide between the two? Well, first you need to know about OEM products.
In this guide, we’ll go through what they are, why you should use them, and anything else you need to know.
OEM Products Defined
An OEM (original equipment manufacturer) is a company that makes parts that are considered to be as good as the components of products from another manufacturer. For example, a manufacturer that makes smartphone screens that are as good as the ones that come as standard in iPhones would be classed as an OEM.
OEMs generally work closely with VARs (value-added resellers) to add value to an original item, which the VAR then sells. An OEM may make custom designs based on the needs and specifications of a VAR.
How OEMs Work
An OEM typically makes sub-assembly parts, but will sometimes produce completed items (although this is rare). An OEM as above, that makes smartphone screens, may also make a range of other electrical components. They might then sell these on to a company like Samsung or Apple, which assemble these parts into TVs, smartphones, computer monitors, etc.
Many parts made by an OEM are quite insignificant on their own. Most final products are assembled from many individual parts before the VAR sells them under its own brand name.
As OEM product manufacturing consists of parts and components, they focus mainly on B2B (business-to-business) sales, whereas VARs sell primarily to end-users. With that being said, the number of OEMs selling directly to customers has increased in recent years.
This is mainly with certain types of products. OEMs that make computer components, for example, often sell directly to customers who build their own computers. Car part manufacturers often do the same as many people carry out car repairs and upgrades themselves.
Despite this, the auto industry contains one of the most basic OEM examples there is. OEMs manufacture parts like brake cylinders and exhaust systems, which they sell to auto manufacturers. These manufacturers then assemble these parts into cars, which they market to auto dealers, who sell them on to customers.
In recent years a new definition for OEMs has arisen, and it’s most commonly associated with the computer industry. It refers to a company that buys products, then rebrands them or incorporates them into new products under their own name.
Microsoft, for example, creates Windows software which it then sells to HP. HP incorporates this into its devices and sells them to customers under the HP brand.
In this situation, Microsoft would traditionally be the OEM, and HP would be the VAR. In most cases, however, the product guide from HP would refer to themselves as the OEM.
You do have the option, however, to go for aftermarket parts instead of OEM products. This is true for almost any component, and whenever you need to replace or upgrade anything, you need to choose which you think is best.
OEM vs Aftermarket
People often get OEM and aftermarket confused, but they’re almost opposites in some ways. OEM parts are made for specific products. Aftermarket parts are made by another company, and customers can use these as a replacement for the original parts.
There’s a lot of competition here in many industries. Among the most common is the auto parts industry.
If a consumer has a Ford Taurus, for example, and the thermostat breaks. They can replace it with an OEM part made by ABC Thermostats, which would be identical to the original one. Alternatively, various other companies make other parts that would serve well as a replacement – these are aftermarket parts.
In many situations, a consumer would go for an aftermarket part because it’s cheaper and/or easier to obtain. Sometimes it may be the only option. If the consumer is replacing a part from an older product, the manufacturer may no longer support it, meaning the OEM might not make the parts needed anymore.
Sometimes certain aftermarket product manufacturers become well known for the quality of the parts they produce. In these cases, consumers may specifically look for parts made by such an aftermarket manufacturer.
This is something else that is commonly seen in the auto parts industry. Hurst Performance, for example, is an aftermarket gear shifter manufacturer. They’re also an OEM manufacturer of some parts for various muscle car automakers.
Their products are generally seen as being superior to the parts that most cars come with as standard. Because of this, people will often choose them for replacement parts instead of going with OEM parts. People will sometimes upgrade to Hurst Performance gear shifters before their original even needs replacing.
The Benefits of OEM Products From Shield Works
When buying parts, you may need to decide what type of manufacturer to go with. Several advantages come with using an OEM.
You’re likely to get a faster response from an OEM than other manufacturers. This is because they can identify and produce the part quicker as they have access to the technical drawings. At Shield Works we aim to always keep turnaround time to a minimum, ensuring we get your parts manufactured and out to you in good time.
With OEM parts, quality is key. We work to make sure our parts are identical to the original component, if not better. We test all parts we create to make sure they meet the specifications of the original, ensuring high quality and reliability.
Any parts you receive from us will be fully compatible with the product and perform just as the original part did. At Shield Works, we go by ISO standard work practices to ensure we maintain a high product standard. All of our processes and record-keeping also meet ISO standards, maintaining high-quality practices across all areas of our business.
Shield Works is a Wholly Foreign-Owned Enterprise (WFOE). As such we adhere to all PRC laws and regulations in terms of product manufacturing, assembly, distribution, and exportation.
All OEM support engineers should have access to the engineering team that designed the original products. This means they’ll also have access to any information or details needed to ensure the part is up to standard. With a high level of technical knowledge and support, we can ensure that we make all of our parts correctly, with minimal room for error.
OEM parts should always be as good as the original part. Because of this, you would expect them to have the same longevity. If a part serves the same function but fails much quicker, it may not be as worthwhile to replace it.
Any parts you get from an OEM manufacturer like Shield Works should last just as long under the same conditions as the parts they’re replacing. The performance will be just as good, and it will degrade at the same rate or slower.
One of the downsides of aftermarket parts is that they often don’t match up here. While they may work well enough for the same purpose, they’ll often fail much quicker. This is because they tend to be made with lower quality materials, and with worse manufacturing processes.
In most cases, an OEM manufacturer produces parts in a very cost-efficient manner. While aftermarket parts can also be very cheap, the lower level of quality means that they’ll need replacing more often, and they’re more likely to have defects from the start.
OEM parts are specifically designed to exact specifications to match your equipment. In the long run, this will keep the need for maintenance down, helping save on costs. It also means you’ll experience less downtime, further increasing the ROI (return on investment).
Shield Works is based in Guangdong, China. The cost of product manufacturing varies depending on the country in question. In China, manufacturing costs are often much lower than in many other locations.
By saving costs on manufacturing, we can offer our OEM parts at a lower price than many competitors, without compromising the quality.
While all manufacturing takes place in China, Shield Works is 100% British owned and managed. This means that we maintain western standards for communication, service, and business ethics at all levels of our organization.
People may have concerns about products being manufactured so far away from a business’ main center of operations. To ensure all standards are held we maintain 24/7 video streams from our warehouse in Guangdong. Using this you can observe your manufacturing area at any time to ensure proper practices are being adhered to.
One of the best ways of ensuring standards are maintained is to only allow authorized personnel into manufacturing zones. To do this, we use fingerprint access which helps provide full IP (intellectual property) protection at the manufacturing location.
While a 24/7 video feed is useful for monitoring a manufacturing zone, it doesn’t give a good look at the parts themselves, so you may want a better idea of how everything is being handled. We’ll give you full access to production monitoring in real-time. This way you can get details from your assembly line whenever you need them.
You can look at information such as communication lines and statistical reporting to ensure things are on track. This also means you can communicate directly with your production team in China if need be.
You can contact us at any time if there are any changes you need to make. Within our OEM manufacturing processes, we can make any adjustments to ensure your orders meet your needs. If you have any product adjustments you need to make or project requirements that we’re not aware of, just let us know and we’ll make the necessary changes.
Shield Works, with already over 17 years under its belt now, was launched the core values of transparency and integrity. We still carry these principles on today, and they’ve been a key component of our success in the manufacturing industry.
Since being founded we’ve completed over 15,000 projects. Our team is skilled in a variety of processes and sectors.
Over the years our team has tackled all kinds of projects. We can produce a range of hard goods, soft goods, and electronics such as:
- Tools and hardware products
- Automotive parts
- Safety equipment
- Bags and accessories
- Home and garden appliances
Whatever OEM parts you need, we can manufacture them professionally and in good time.
Getting Your OEM Products
OEM products are ideal if you want high-quality parts for your goods. The products we manufacture at Shield Works will always meet or exceed expectations, making them ideal for any situation.
We pride ourselves on transparency, so you’ll be able to see what’s happening with your parts at any stage of the process. We have a wide range of capabilities and can meet whatever needs and specifications you have. OEM parts provide quality, reliability, and longevity.
The team at Shield Works Precision Manufacturing is ready to take on any project you have. If you want to know more about our services, or if have any other questions for us, click here to contact us today.