When I offered a model for guiding buyers to choose an ODM vs. OEM vs. CM supplier, I mentioned that OEM suppliers often "subsidize" the cost of developing the new product. Then, the buyer ends up paying the cost of development, but it is "amortized" in the unit cost of the product. I'd like to explain why, in the context of when manufacturing a new product, that can be dangerous for the buyer. … [Read more...]
From New Product Design to Production: What Is on the Customer’s Plate?
Many people contact us with an idea for a new product they want to develop... and nothing else. We usually explain that they are not ready for talking to China-based manufacturers until they have done more 'homework'. Over the weekend, I listened to an episode of the Predictable Design Podcast (The Importance of Defining Project Milestones), which covered the main steps every new company that wants to manufacture a new physical product has to go through. It is a great listen. It inspired … [Read more...]
New Product Concept Brief: 5 Things Your Industrial Designer Needs To Know
If you have a new product concept that you want to manufacture in China in mind, don't go straight to talk to a manufacturer (your concept is still too immature). Instead, you need to start working on 2 axes at the same time: Market demand confirmation - will a sufficient number of people want to buy your product? Industrial design - what will it look like? (I am assuming you are designing an electro-mechanical product.) To illustrate your product concept effectively, you'll be … [Read more...]
Documenting Your New Product Development Process (for Quality & Speed)
A large part of the new product development process is the series of approvals to get through. It helps prevent quality issues in mass production and it helps reduce miscommunication... both of which are the biggest causes of a slower time to market. If your company develops and manufactures new products regularly, do you have a documented process? These 3 examples from the apparel, auto, and electronics industries can help you understand how the approvals work. … [Read more...]