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!
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!
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!
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!
Though it seems like a lot of overseas companies outsource their production to China, there are plenty of misconceptions about Chinese manufacturing that can come back to haunt you.
Before you set out to reach a manufacturing partner in China, there are some facts you should know so you can prepare yourself for success instead of falling into the pitfalls. Let’s dive in.
1. Manufacturer VS. Supplier
If you’re looking to get your product made in China, you’ve probably already heard the terms “manufacturer” and “supplier” thrown around a lot.
They seem to be the same thing, right?
Yes, but also no!
Though the two words are closely related, they are not always meaning the same person in the manufacturing industry.
Generally speaking, a manufacturer would be considered more of an in-house entity that operates as your micro-factory with all the machinery and workers required to create your product from start to finish.
Suppliers are those who supply goods or services; but they can sometimes also act as manufacturers, wholesalers, or distributors who purchase existing brands and products (usually from somewhere else).
It’s imperative to make sure that you understand the difference between “manufacturer” and “supplier” and figure out what kind of services they can provide for your business.
If you’re a newcomer to the market, make sure to work with someone who doesn’t take advantage of inexperienced clients.
Before signing any contract or making any upfront payment, it is important to know if your manufacturing partner is qualified for what they produce and has an official business license to run a company in China.
2. Manufacturing Costs Vary Across Different Cities
Though you may think that manufacturing costs in China are lower than that of western countries, the prices in manufacturing among Chinese cities differ significantly.
One of the reasons for this is that China has undergone enormous changes and development in recent decades. This explains why the average monthly salary differs between cities or regions.
In this case, you may find out that some cities display relatively stable manufacturing cost patterns while some raise their manufacturing service fee due to the increment in labor costs and land prices.
The other main reason is that China is paying great attention to improving its high-end manufacturing capabilities. Now, more and more high-tech manufacturing factories are well-established to pursue productivity and lower costs.
3. Finding the Right Manufacturer in Your Area
Locating for a manufacturing company that produces what you need is easy unless you confirm everything you need beforehand.
The main thing you should know is that many manufacturers usually stick to one specific type of product.
For example, it may be hard to find someone who can make “home appliances“ but it’s easier to reach a blender manufacturer who specializes in this field for years.
See the difference?
So when reaching a potential manufacturer in China, keep in mind to find someone who has experience and expertise in your product area. Otherwise, it will end up costing you even more than if you do the job yourself.
4. Don’t Skip Quality Control
Product quality is a major factor for western businesses because defective products can lead to financial losses as well as angry customers who will complain about your company sending them an unsatisfied product.
When outsourcing your production to China, it isn’t enough just to send your idea or design to a factory and expect them to produce the item correctly – even though you deeply trust them.
Make sure you’re thoroughly involved in each step of production and conduct quality control so that you can be confident that the manufacturer is capable to deliver products that meet your expectations and the quality standards.
5. Delivery Delays Can Be Normal
Manufacturers often negotiate with multiple foreign companies at once, so there’s no guarantee they will give you their full attention or work quickly enough to meet your deadlines.
Make sure your manufacturer gives you a detailed production plan so you have an idea of how long it will take to produce your items.
Another factor worth considering is how long it will take for the items to arrive once they are shipped.
The delivery time can vary depending on where the factory is located, where you want to receive the product, and even if there are any Covid cases in the region
So you have to remain realistic about the lead time and deadline. Keep communicating with your manufacturing partner so you can receive an update on your production process.
The Solution For Your Manufacturing Project
If you haven’t yet worked with a manufacturer in China, you have to list your needs and expectations before making a final decision.
Also, never choose the one who offers the lowest price, work with those who have long-term experience and know how to help your business.
Shield Works can be your best manufacturing partner. With our British ownership and management background, we take pride in our over 17 years of international project experience and excellent team. Contact us for a no-cost consultation!
Let’s say you’re a small business owner and have just received an order for 500,000 watches. What do you do?
Well, first off, you’re probably feeling pretty overwhelmed! It’s a big deal to get that kind of business, and you want to keep them coming back for more. All you need is the resources to fulfill their order.
You’ve heard about contract manufacturing services in China, but you don’t know where to start. You can’t afford to make a mistake, so you need to be sure that whoever you choose understands your needs and offers quality products at competitive prices without compromising on safety or environmental standards.
Instead of trying to choose the best candidate on your own, read on for everything you need to know to make the right choice.
Quality Control and Inspection
You need to be sure that the products your company sells meet or exceed quality standards. Ask manufacturers about their quality certifications. You should also consider whether they have industry-specific certifications, such as FDA certification.
Ask about the steps a manufacturer takes to ensure quality, including inspection techniques and certifications. You also need to consider whether they use third-party testing. If they do, ask which organizations they use and what types of tests they do most frequently.
With so many variables involved in your product’s production and delivery, it’s not always easy to determine how much something will cost. The price of your final product will depend on several factors. So, it’s best to work with a contract manufacturer who can provide you with a comprehensive quote. This will help you understand all the costs involved in production and shipping so there are no surprises down the line.
When you’re looking to manufacture a product, you need to consider the capabilities of your supplier. You should ask:
- What type of products they can produce
- How many units per month they can produce
- At what price it will be possible to get them manufactured
For example, if you want to produce 500 units per month and require a high-quality material for your product, then finding a supplier who can do this would be ideal. However, if you only need 100 units per month with no specific requirements for the materials used, you have a wide range of options. Assuming you’re looking for the lowest price per unit, then your best bet is to find a supplier with no minimum order size.
If your supply chain is disrupted in any way, it could wreck your bottom line and your business. You should carefully evaluate a potential manufacturing partner’s financial stability and performance record before choosing them for your product.
Contract manufacturers in China have low-cost labor, which can be a benefit if your goal is to reduce manufacturing costs. However, this also means that you may face communication difficulties because of language barriers. To circumvent this issue, consider working with a contract manufacturer that has experience communicating with Western businesses.
If you have limited opportunity to communicate with the production facility on an ongoing basis, then you should consider whether another manufacturer might be better suited for your needs.
It helps to choose a manufacturing company that’s willing to add to their production tools when necessary. For instance, some manufacturers only produce with injection molding equipment. If your project requires casting or machining equipment, then you’ll need to find a different company.
But if you can find a company that’s constantly updating its machinery and processes, then you should have the flexibility to make any changes that might be necessary.
A manufacturing company will only be able to produce your product if they understand the design specs and goals. If you’re working with a facility that doesn’t fully grasp your project, then it may not come out as expected. To avoid this problem, try to choose a manufacturer with experience in your industry or with similar products.
For instance, when choosing a manufacturing company for plastic injection molding projects, you should look for companies that have produced high-quality plastic components in the past.
The quality of your products hinges on the quality of your manufacturing partner. It’s important that they have the right certifications and follow best practices. Manufacturers who don’t have certifications should be avoided at all costs, as they represent a risk for both you and your customers.
There are many certifications that manufacturers can earn, like ISO 9001, ISO 14001, and ISO45001. However, there is no law requiring a contract manufacturing service to have any particular certification. Each organization has its own standards for what is required for membership or accreditation.
Some industries also require specific certifications from their suppliers to sell their products to specific markets. For example, food packaging or medical devices require FDA approval before being sold in the United States’ market. If you’re planning on selling internationally, then make sure that any contract manufacturer you work with can meet those requirements as well!
Choose Reliable Contract Manufacturing Services
Getting the help of contract manufacturing services can help bring your ideas to life. At Shield Works, we have a wide range of capabilities and services to help you design, prototype, and manufacture your products. If you’re looking for engineering support to help you create the right product, we can do that too!
Get in touch with our team and tell us about your amazing idea. You’ll hear from us in 24 hours!
Doing business in China can be very rewarding, but before you dive in you need to know what pitfalls to avoid.
If you don’t do your homework, finding a reliable manufacturer to develop your products can be costly and time-consuming.
One of the most important things to remember when working with a contract manufacturer in China is that you want to work with someone who has been vetted and who has a good reputation.
To do this, it’s best to ask these five questions before signing any agreements or making any deposits. Let’s keep reading.
1. What Services Do They Provide?
Since you have no prior experience with manufacturing overseas, you may be limited when it comes to understanding the services your manufacturing partner might offer.
So the first question you have to ask your prospective contract manufacturers in China is: what services do they provide?
As you may know, not every manufacturing company is built in the same way.
Some companies offer a one-stop solution while others may be an expert in a certain part of the industry with high-quality assurance.
Therefore, knowing what each manufacturer specializes in will help you choose the best one that provides you with all of your requirements for success.
2. How Much Experience Do They Have?
If you have an idea of what exactly your product should be, like size, functions, and main materials, you need to find someone who can make your product with relative experience.
Experience is what matters the most when selecting a dependable manufacturer in China.
There are hundreds of thousands of manufacturing suppliers on Alibaba, however, it can be difficult to verify them online.
Everyone seems to say that they know how to solve your problems.
But you have no way of knowing whether or not they are managing a proper facility for producing your desired goods.
Therefore, based on their work experience, they can prove themselves as capable of working effectively with others who share the same needs.
3. How Big Is The Facility?
Knowing the size of their facilities will provide you insight into if they have enough capacity to handle your project.
Sometimes, you may consider using a smaller factory in hopes that they would be easier to deal with and they would pay more attention to your products.
This can be a wrong decision for you to make.
Because if the factory is too small, you may find yourself waiting for one of their existing customers to finish production so you can get started.
Avoid a new or small factory. More often than not, these factories have only been around for a short period of time and they lack the equipment and skilled employees a more established factory should have.
It’s also helpful to ask about the number of employees and departments available.
Keep in mind that if a company has many employees, then it means their facility is larger (thus with more space) and they’ve been around longer, which means they’ve had time to learn from past mistakes and refine techniques – putting them ahead of newer competitors in terms of experience.
4. What Is Their Production Capacity?
It is essential that you find out what their production capacity is.
That’s because production capacity is an integral part of your future success.
You may have been working with a specific manufacturer for years but now you decide to switch over to someone new or you’re just getting started working with this manufacturing company, but it doesn’t matter.
Because either way, you’re looking forward to introducing your product to the marketplace.
You do not want to wait weeks or even months for your product because your suppliers have too many other clients on the way.
It would be best if you find out how fast their production process goes because this will give you an estimate of when you can expect to receive what you ordered.
5. What Quality Assurance Steps Do They Take?
Quality assurance is just as important as choosing a qualified manufacturer.
Several factories in China seem to believe in their quality control process.
However, bad things happen all the time.
If you don’t want to end up with shoddy products or a nonresponsive vendor, check out what other customers have said about them online.
A reliable manufacturer should have a list of case studies or testimonials shown on their homepages. Pay attention to the details of this information. You may later find yourself avoiding a lot of trouble by doing so.
In addition, keep in mind that the more quality assurance steps the manufacturer will take, the lower the risk of defective products and components you will receive.
Typically, there are three quality control services in the industry:
- Pre-Production Inspections
- In-Process QC Inspections
- Container Loading Inspections
In this case, make sure you understand the differences between each product inspection and how your manufacturer conducts the QC process.
Need Professional Help With Your Manufacturing Project?
Don’t be afraid to ask questions. Doing the proper research before making a decision can help you avoid trouble.
If you’re looking for a professional contract manufacturer in China to work with, come to Shield Works.
Our expert team will do everything they can to make sure your project moves smoothly and efficiently. We are well-trained and have been working in this industry for many years – so no matter what you need to be done, we’ll figure it out for you.
With our British ownership and management background combined with manufacturing know-how, we take pride in keeping quality at the forefront of every job – so there won’t be any need to worry about defective products. Contact us to discuss your project today!
The contract manufacturing industry is thriving globally due to its ability to drive the immense reduction in the cost of manufacturing goods and to grant companies increased flexibility faster than traditional methods.
In this article, we’ll take you through the primary reasons why contract manufacturing can deliver improved cost performance and production flexibility.
Reduce Labor Costs
Labor cost is a key element in the manufacturing industry. Typically, the labor is more expensive when you are from the developed world. So it makes more sense to outsource your production to China.
Depending on how far along you are in manufacturing your product, you may be paying upwards of 50-70% for labor costs.
When shifting to contract manufacturing, it’s typical to see those costs reduce by 30-50%. While lower costs aren’t guaranteed, there’s plenty of room for negotiation based on your volume requirements.
In some cases, companies have been able to negotiate down as much as 80% of their original labor costs. This is a massive saving that can help you create a more profitable business model from day one.
Reduced Capital Requirements
If you’re not ready to invest in building an in-house engineering team and buying expensive equipment, contract manufacturing is the best option to help you get a product to market with minimal risk.
You simply pay for services as needed rather than extra investment, otherwise, that will be a waste of having a facility with equipment that sits idle most of the time.
Some manufacturers may even let you use their machinery at fairly lower prices if you hold an order of larger quantities or have a good relationship with them.
Typically, a professional contract manufacturing company focuses more on improving efficiency. They have a pool of in-house specialized engineers because a company’s production efficiency obviously cannot be improved overnight.
Increase Inventory Flexibility
Since you are not tied to a specific factory, you can switch manufacturing plants at any time without having to change production plans. This gives you increased flexibility for where and when you buy raw materials as well as components needed for your product. In this case, you will never be stuck with too much or too little inventory if you have contract manufacturing.
Meanwhile, when you work with contract manufacturers, they handle all aspects of manufacturing including procurement and logistics.
The cost savings associated with using a third-party supplier is passed on to you in terms of lower prices. In addition, because these companies specialize in one aspect of manufacturing (such as PCB assembly), they do it better than anyone else in their field which means they can offer better quality products at competitive prices.
Increase Manufacturing Experience
If you choose a professional contract manufacturer who is specialized in what they do, you will be worry-free in many situations.
The most important one is that they usually have a customized plan for you to meet your needs in production, quality standards and lead time. It will be easier and more effective to get your project done.
The other excellent experience for you if you have a professional contract manufacturing firm is that they have one-stop supply chain services to deal with from sourcing, quality control, warehousing and shipping. With these services, you can save your time and money in finding other third-party companies for your business.
Manufacturing In China With Confidence
Contract manufacturing is only becoming more prevalent as time goes on. When your company needs contract manufacturing services, come to Shield Works. We take care of every aspect for you, so you can focus on innovation and launching products as quickly as possible.
With our well-established facility based in Zhuhai, Guangdong Province, we offer a range of services to accommodate your needs, from a one-time contract manufacturing and precision assembly to warehousing and fulfilment, without ever worrying about inventory or quality control. Our production process is streamlined, efficient, and optimized – so no matter what phase your business is in, we can take care of you.
We pride ourselves on excellent customer service and British background management experience. Contact us to find out how we can help with your project!
Manufacturing continues to grow throughout the years and has become incredibly profitable. Did you know that manufacturers contribute about $2.71 trillion each year?
If you’re thinking about using a contract manufacturer, you might wonder if it’s worth it. There are several benefits to using one, and some might surprise you! Read this guide on the various benefits of using a contract manufacturer today.
Keep Costs Low
Contract manufacturing is a great way to reduce the cost of your services and products. This is because there’s a lower chance of errors. You can also benefit from bulk purchasing and skilled labor.
All of this can lead to satisfied customers since you can lower the cost of goods. Manufacturing businesses specialize in high-volume production lines and cutting costs.
This means that you can focus on running your business instead of worrying about production or making errors. Many companies are experts in their field and what they sell, but they struggle with the production process. That’s where a contract manufacturer comes in.
Did you know that manufacturing accounts for 12% of the U.S. economy? You’ll be able to save money since you won’t have to worry about buying equipment for production. Skilled laborers will already have the equipment that you need.
If a product is high in demand, a manufacturer can focus on decreasing the time that it’ll take.
You can test products before they’re in the hands of your customers. This is a great way to save money by not producing a defective design.
Determine what the needs of your business are since each manufacturing company could offer different services. They can also make changes to the product as necessary.
They can improve the products, increase the production rate, and give you great profit margins.
Product manufacturing companies will provide you with products without errors. This will help the reputation of your company.
Some companies will try to do production on their own and then make a grave error. Let a manufacturer perform production and watch your production rates increase.
They can also bring fresh, new ideas to your products. Manufacturers are experts in design and can help your product shine.
Many manufacturers learn how to reduce waste. They can perform various tasks such as painting, machining, difficult assembly, welding, etc. This can help reduce the manufacturing costs for your company.
Manufacturing companies can also provide you with more flexibility. Whether you’re looking to scale production, develop products at the same time, etc.
You can start and schedule projects when it makes the most sense for your business. You’ll also know that they’re using the top-of-the-line equipment in the company to provide you with high-quality products.
Since they’re knowledgeable about reducing waste, you can lessen your carbon footprint. This also means fewer costs for you.
Your staff will have more time to work on business tasks. You can focus on your business, marketing, etc.
If you wanted to do production yourself, you’d need to hire a large staff. This could include operators, engineers, managers, etc.
Whereas contract manufacturers already have their staff in place. You’ll have a large team working on your products without having to worry about shifts, payroll, or hiring workers.
Sell Your Products Sooner
Since managers can create your products fast, you can get your products out there to the consumers quicker. There are different methods such as CNC machining and Rapid prototyping that can help speed up the process.
You might be able to get your products out there in a few weeks!
They can handle various aspects of the manufacturing process. These can include material purchases, product design for manufacturing, assembly, packaging, etc.
Since everything is happening under one roof, it reduces costs for you. They’ll handle the difficult parts of the manufacturing process so you as a business owner can have less stress.
Deadlines and Estimates
You’ll know in advance how much to budget for the process. They’ll provide you with a detailed estimate before they begin.
This will make it less likely that you’ll experience delays or unexpected costs. They’ll also be able to tell you how long it should take.
If you try to have the product manufacturing process internally, you’ll need to contact multiple vendors at all times. Through contract manufacturing, you’ll be able to stay in communication with them. You won’t have to worry about a response.
Who Can Benefit From Manufacturing Contract Companies?
Most businesses can benefit from contract manufacturers. You might decide to use product assembly services in China since it’ll save your business money. Keep in mind that how skilled a manufacturer is will vary.
Some ways they can help include:
- Packaging products
- Manufacturing products manually
- Product assembly
- Creating computer models of products
- And more
When you’re first starting out with a production company, it’s a good idea to test out a contract manufacturer. See how their production process is and if it slows you down. You might find that you’ll have more time to focus on your business and productivity will increase overall.
Understanding the Benefits of a Contract Manufacturer
After exploring this guide, you should have a better idea of the benefits of a contract manufacturer. Take your time deciding if it’s right for your business.
Are you ready to speed up the process of manufacturing in your business?
Contact us today! We offer customized manufacturing, including developing new processes, using top-notch equipment, and customizing work procedures.