10 proven benefits of outsourcing manufacturing to China

Have you thought about outsourcing the manufacturing of parts as well as fully assembled products? Because there are some strong benefits related to outsourcing of production, for example. Here are 10 proven benefits of outsourcing manufacturing to China. Davantech is specialized in taking production orders of parts and assemblies. More specific, our main product manufacturing services are CNC machining, turning and milling, reaming, tapping, wire cutting. In addition we fabricate injection molded plastic parts and overmolded components.

Below are 10 proven benefits of outsourcing manufacturing to a Chinese supplier like Davantech.

Manufacturing in China.

Do you want to know what are the 10 proven benefits of outsourcing manufacturing to China? Below we give you an overview of how cooperating with a good Chinese components manufacturer in China has some advantages for overseas customers.

1. Indirect Cost Savings.

Outsourcing to China inflicts significant cost savings. More specific, when considering all the indirect costs associated with the procurement of all the components that go into fabricating a product. Furthermore, there is less stock management of raw parts and finished goods in the facility. As a result, you save on record keeping management, management of the production team, overhead, and quality control costs. At Davantech, we help our customer realize direct cost savings by added value. One assembly equals one cost , delivered in its final packing.

2. Reduce Opportunity Costs.

Non-core products and tasks in a company reduce the ability to provide core products in time. Outsourcing to Davantech allows our customers’ internal resources to focus exclusively on their core business. Essentially, you can focus on what you do best. Let us take care of the rest.

3. Strong Quality Management.

Our customers are very selective when choosing a contract manufacturer. Our ISO 9001:2015  quality management certifications guaranteed the highest level of customer satisfaction and quality. These international standards ensure that every aspect of a contract manufacturer’s business is well-run. This includes key processes, management roles and responsibilities. In addition, it includes documentation, customer satisfaction, employee training, production, service and internal audits. We have RoHS and REACH analysis on over 50 parts and assemblies.

4. Efficient and reliable Supply Chain.

Outsourcing the supply chain allows our customer to benefit from our skilled procurement experts. Our staff have hundreds of suppliers in all fields of the industry. Furthermore, you gain access to our extensive and relevant vendor networks, providing additional opportunities to establish new supplier relationships.

5. Fast Delivery.

Another advantage among the 10 proven benefits of outsourcing manufacturing is that we provide parts and assemblies to our customers fast. In short we combine our in-house product manufacturing services like cnc machining and product assembly capabilities. And on top of that we call in our network of suppliers. As a result we are able to provide the resources that our customer needs fast.  And in their turn they are able to accelerate the product time to market.

6. Availability of Service.

Our lean manufacturing processes can offer quality when in-house skills are a challenge to obtain. Additionally, there may be times when certain manufacturing processes are not strategic for the client’s company vision. Outsourcing manufacturing to China supplements their existing staff and skills, thereby becoming a seamless extension of your business.

7. Expertise.

High quality products can be secured by outsourcing from specialized contract manufacturers like Davantech OEM.  We work at a a higher level of efficiency and performance. Outsourcing to us allows our customer to take advantage of industry expertise and innovation, reducing their overall bottom line. They also realize the benefit of our Design for Manufacturing services.

8. Temporary Flexibility and Scale.

Outsourcing manufacturing in China provides the ability to increase or reduce output in response to changes in market demand. Sometimes our customers face a short term demand that exceeds current production rates. Likewise outsourcing to a Chinese factory like Davantech provides increased capacity to maintain responsiveness and avoid increased lead time. Hence we can quickly add personnel or call our sub-contractors.

9. People and Processes.

Employees are our most valuable asset. Our clients hire us for our people and processes. In particular our rapid growth requires continual focus on hiring manufacturing and engineering talent. Moreover we need both the technical and soft skills. And in addition it gives us employees that are the right fit for our team.

10. Ease of Entry.

Cooperation with a contract manufacturer who offers a variety of product manufacturing services like milling and turning in China, serves as a low cost point of entry for new businesses and startups. First of all, companies have more freedom to try out small series manufacturing with their budgets. They can do so without worrying about high costs. We strive to long-term business relationships. Nevertheless this enables us to be more flexible towards our customers.