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Techniques for managing offshore contract manufacturers

Publication:
Quality Progress
Date:
May 2022
Issue:
Volume 55 Issue 5
Pages:
pp. 22-29
Author(s):
Ganesan, Venu, Mishra, Santosh, Duffy, Mary
Organization(s):
International Organization for Standardization, Saab Technologies Ltd., Burnaby, British Columbia, Kardium Inc., Burnaby, British Columbia

Abstract

Many organizations use offshore contract manufacturers (CM) in Asia due to lower operations costs, but often, product and service quality suffer. Initiatives taken to improve product quality may work, but other supply chain issues and political and economic factors in the CM country push costs up, resulting in organization rapidly pulling manufacturing back on shore. The authors outline problems that medium-scale electronics manufacturers have experienced with CMs and recommend actions to improve the customer-supplier relationship.

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