China is the manufacturing base of the word due to its low overhead costs or low labor cost. The low manufacturing cost gives several suppliers a unique competitive edge over their peers.
There are also associated risks to outsourcing your manufacturing to China, suppliers in China are known to skimp on their internal quality control, and they often substitute materials during production for cheaper lower quality materials to improve their margins. Most of the time, they cannot understand the reason for small defects with the products. So to make sure that your goods reach your customers in perfect condition, you need to have a dedicated team of quality control or quality check.
Many companies come up with the in-house quality control China team. But having an in-house dedicated team is a costly matter. If you want to have cut your cost, you can go for the process of outsourcing. You can hire a team of inspectors from a reputed company to perform the complete quality check process.
One of the many challenges of doing business in China is the restrictive nature of Chinese company structures. You can set up your hire dedicated China-based quality check facility, but there’s an awful lot of expense and a lot of effort required.
You will also need to set up a good representative office that means you need to have a trading entity in your own country that is been operating for at least 2 years. Not just that, you need to pay a huge amount for that privilege.
Your representative set up or office will not have the right to hire the right employees or to pay or invoice the suppliers. You need to shift it entirely from your own office, from own country. The expatiate cost and relocation costs will be high also. As you have a representative from your country, they can negotiate properly with the local government for the local employees. It may cause a much-increased wage compared to the local norms. Firing and hiring these employees can be quite difficult.
All these expenses and effort you will invest from your business which is a tough matter to control.
Benefits of outsourcing
For Quality Control China, outsourcing is the best way.
- If you start communicating with the business, these companies may help you out best. They can properly run the process.
- The low hassle and low cost, hiring an outsourcing team mean you will be able to save a great amount of money for quality control.
- There are no distractions from your core business, if you let a professional inspection company handle your quality concerns, you can concentrate more on satisfying your customers rather than the process of micro-management.
- They will give you detailed reporting, including photographic evidence, legal documents submitted when you need it. Good company means great in-depth reporting that prevents any type of errors to occur. It helps you in fixing the existing issues before you get the receipt of the goods.