In this global economy, the competition has no board. Lowering the cost at higher quality is not an option to every company. China became the center of manufacturing world-wide serving for most of the leading enterprises:
80% of notebook PCs are manufactured in China
50% of cameras are manufactured in China
30% of Air-conditioners are manufactured in China
30% of TVs are manufactured in China
70% of Cigarette lighters are manufactured in Wenzhou, a city in eastern China
...
The quality of products manufactured in China is also increasing fast these days. In order to illustrate product quality level and quality developing sustainability of the Chinese manufacturing, AQSIQ and NBS jointly carried out the research on quality competitiveness index (QCI) of manufacturing.
In sourcing the parts/components or manufacturing services in China, advantages and risks exists. Managing the advantages and risks to the optimal point is the key challenges in doing business with China.
Advantages:
Low cost (labor, operational, raw material,...)
Wide range of material and services availability
Big market potential
Risks
Product quality management
Managing logistics of material flow
Qualifying reliable suppliers among huge number of small suppliers across the country
Intellectual property protection
Communication
ConneXwave's Services
ConneXwave assists clients in managing those advantages and risks for successful outsourcing of the parts and manufacturing services in China. The services of ConneXwave to assist clients include qualifying suppliers, manufacturing process engineering and logistic management throughout the whole outsourcing processes.
