
China has emerged as a product manufacturing powerhouse. In one decade, it not just became the largest manufacturer of goods, but doubled the GDP per capita in its country. It took UK 150 years to achieve these manufacturing standards.
If you are planning to manufacture custom products in China then it is essential to have a strategy. A reliable local sourcing agent can be hired to manage the entire process efficiently. There are 5 steps involved in having a new custom product manufactured in China.
- Partner selection
Create a product specification sheet or diagram. The aim is to offer the manufacturer details of what to manufacture and the particular requirements of every design aspect. Request for quotation must be obtained from several products for the same kind of product without revealing full details about your needs.
Compare the quotations and choose some suppliers [3 or 4] you feel are ideal for handling your project. Send the entire technical detailed request for the quotation pack [RFQ]. The pack will include technical drawings, details about each component, estimated volume per year, and other data that can help the potential manufacturer to offer a near to accurate quotation.
As soon as you get the quotations from suppliers approached, narrow down the potential supplier’s list you feel matches best with your needs. After shortlisting perform comprehensive research to partner with the one you feel is suitable for your business.
After this, a factory audit is to be conducted. The sourcing agents are skilled in supplier audits and can offer a detailed report of the findings. A satisfied report offers peace of mind that you are partnering with a reliable manufacturer in China.
- Non-recurring engineering and sampling
In this phase, tooling will be custom-made. First, have a face-to-face meeting with the manufacturer and discuss the project plan. Ensure to talk about your expectations and deliverables. Work on contract for every non-recurring engineering tool.
Simultaneously, have the sample or prototype process started. The manufacturer will start manufacturing products according to the specifications. You will have to review and if required have the sample modified.
Once you approve the samples, the new product plan is updated to reflect the changes made in this stage. An OEM/ODM contract that includes each product supply detail is signed and sealed. It is the manufacturing contract signed by the involved parties.
It is time to place an order for the films, tooling, or code [NRE items]. The information provided is released officially via the Document Control process. Deviation or change to print that needs officially released information to be updated has to be done via the Engineering Change Request process. In this way, every document can be traced down the road, if needed.
Now, products can be manufactured using the NRE items. Check the parts manufactured from the tools because they may need some modifications before final approval. The manufacturer has to feel satisfied with the tooling setup and results. They may submit a final sample to verify and sign off officially.
The last step includes checking every detail of the parts produced and the performance of the NRE items and sign-off.
- Pre-production
A follow-up meeting is crucial with the manufacturer at this stage of NPI [New Product Introduction]. Revise the contract and cover every crucial component and deliverables as well as your expectations from the production.
Now, place the order for the initial production quantity. You will have to pay the initial amount against the first purchase order.
Mass production of a part needs the correct set of work instructions. The manufacturer will work on this but you need to participate especially when there are more technicalities. Generate a process control plan with the manufacturer.
There has to be a test plan that identifies what part needs testing, how to test it, and what is the test frequency. The test plan must also define what to do if test results don’t fulfill the indicated limits.
The pilot run is the final step in the pre-production stage. Conduct this with mass production arrangement including the precise tooling, procedures, test equipment, and actual operators assigned to create the product.
The trial needs multiple runs with iterative improvements, but ultimately the satisfying results will be signed as ‘Production Ready’.
- Production
Frequent product inspection is essential in the manufacturing process. The sourcing agent can perform the quality control and product inspection on your behalf. It is helpful because inspections performed at the factory allow working with the manufacturer on needed corrective measures.
After everything is signed and orders are prepared to be shipped the sourcing agents ensure that logistics for shipping custom products from China to your country is smooth and safe. Before shipping the goods, you need to pay the remaining amount of the purchase order.
For ongoing production of custom products in China, analyze the test results of the product against the test plan. It allows monitoring performance and major KPIs.
- Consistent improvement
It is a stage, where you and your manufacturer work in enhancing every business aspect right from production to process, and build a good relationship and partnership. You will need to work on different KPIs [Key Performance Indicators].
During this stage, manufacturer development is involved. The manufacturer development process is to take steps in enhancing their performance, which is beneficial to your company. It can help to add value in product manufacturing, service offerings, better performance, enhanced lead times, and shipping.
Tips to speed the manufacturing of custom products in China
Hire a local sourcing agency, so that the production speeds up. Having someone on your behalf onsite during sampling or at certain production phases is beneficial.
- Enables instant feedback on the progress.
- Instant review of the samples and sign off if approved on spot saves 2/3 weeks during sample preparation.
- Enables to detect issues at an early phase and resolve it.
- Keeps the factory staff motivated and pressurized because Chinese suppliers can quickly lose interest in your project and concentrate on another one.
There are unknown risks in developing custom products in China but there are also solutions to reduce the risks. Work with the right manufacturer and make calculated wagers