Reshoring a product is more complex than handing over your blueprints to a new American contract manufacturer (CM). There are several crucial factors to consider when making this transition, and we’ve compiled a comprehensive list of design-related issues that demand your attention:
1. Translation Troubles: Avoid falling into the trap of merely running your product descriptions through an online Chinese translator. Instead, seek the expertise of an experienced engineer who can craft precise and understandable English terminology for your technical documents. This step ensures that your design makes sense to English-speaking technical professionals.
2. Embrace Automation: Many designs are initially optimized for low-cost labor, which may need to be more readily available in the United States. To maximize efficiency and cost-effectiveness on American soil, your design may require adjustments to accommodate automation. This aspect is necessary to avoid unexpectedly high production costs.
3. Parts Procurement: As you consider reshoring, evaluating the availability and cost of components in different regions is crucial. Your choice of parts can significantly impact your manufacturing process’s overall cost and feasibility, especially if you plan to produce sizable quantities.
4. Cost of Goods Sold (COGS) Reduction: Since design modifications will likely be on your agenda, it’s the perfect opportunity to explore cost reduction strategies. Keep in mind that technology continually evolves, becoming better and more affordable each year. Take advantage of these advancements to improve your product’s cost-effectiveness.
5. Rigorous Testing: Reshoring is not without its inherent risks. To mitigate these risks effectively, you must develop a comprehensive plan. Consider implementing additional precautions beyond the necessary Design Verification Test (DVT) necessitated by design changes. This includes sampling each production lot and conducting a DVT and a Highly Accelerated Life Test (HALT) on a subset of units from each batch.
By addressing these design-related issues proactively, you can make restoring your product smoother, cost-efficient, and ultimately successful. Embrace the opportunities and advantages that reshoring can offer, but do so with a thorough understanding of the intricacies involved. This strategic approach will position your company for success in the competitive landscape of American manufacturing.
Remember that reshoring is not merely a matter of relocating production; it’s about optimizing your design, processes, and supply chain to thrive in a new manufacturing environment. Stay informed, stay adaptable, and make the most of this transformative journey.