Planning on opening a factory in China in 2021? To get some insight into just what it takes to set up a new factory in China let's explore how WE came to open our own factory, Agilian Technology, there in 2018! Renaud will explain the reasoning behind doing so, the goals, and the 6 phases we followed in order to make the idea of having a contract manufacturing subsidiary a reality. This will give you food for thought and help you start planning the project as it's possible you won't have … [Read more...]
Factory Management: the 4 Main Roles in the Quality Department
China, as a whole, has 35+ years of experience manufacturing products for export customers. They have accumulated a lot of experience. However, foreign buyers are rather consistently shocked at the level of mismanagement that plagues their factories' quality operations. And fixing it is not that hard. In this article, I will lay out what I see as the 4 basic roles that manufacturers need to fill in their quality department. … [Read more...]
Traceability in Manufacturing: Do your Chinese Suppliers Do it Right?
I see buyers who spend a lot of time pushing their suppliers to do QC inspections on incoming components, to keep the production area clean, to give clear instructions to operators, and other basics. But I seldom hear them push for traceability in manufacturing, despite how important it is. I thought I should write about it again. … [Read more...]
Chinese- vs. Japanese-Owned Factories in the US: Main Differences
A journalist contacted me and inquired about the differences between Chinese-owned factories (a new phenomenon) and Japanese-owned factories in the context of new plants set up in the US. Interesting topic. Not unsurprisingly, Chinese investors chase low wages and high state incentives. As a result, several Chinese-owned factories are established in Alabama. Let's take the example of a copper tubing factory that employees about 200 people. Here are a few interesting quotes: “Individualism is … [Read more...]
7 Common Mistakes Revealed by Factory Org Charts
One of the first things we look at, during factory audits, is the organization chart. And it often points to serious operational dysfunctions. The ISO 9001 standard does not require an org chart to be prepared (it only asks for the definition and communication of authority lines). It is a very common document, though, and many Chinese manufacturers fall into the same pitfalls. Mistake 1: not having a quality department Most small workshops don't have personnel dedicated to checking quality … [Read more...]