Top 5 Techniques to Reduce Manufacturing Costs

Manufacturers are always looking for techniques to reduce their cost. Here are five of them that will help the manufacturers reduce cost irrespective of their sector. The primary step would be to assess their process and do on internal audit. Only when the big picture is at view, methods can be implemented to reduce the costs.

Energy Efficiency

Most of the time without our notice we tend to waste a lot of electricity. Implementing sensors that would stop the machines immediately after usage can reduce quite a lot of cost. Replacing energy guzzling machinery with those consuming less energy can save up to 10% of the cost. Usage of alternative energy sources like solar energy which is the cheapest source of energy can cut down operating cost significantly.

Fixed Cost Reduction

Machinery for a manufacturing industry is very important, but only a few machineries are constantly used. Hence, owning the machinery that is used passively wouldn’t be feasible; renting/leasing such machinery can reduce the fixed cost. Using automation in production process can decrease the labour cost abundantly. Outsourcing advertising, marketing and sales could also help in cost reduction.

Top 5 Techniques to Reduce Manufacturing Costs

Overhead Cost Reduction

Maintaining inventory by not over producing and recycling/selling the wastage or scrap of the raw material can always free up and manage the factory space and reduce wastage. At times, outsourcing supply can reduce the business space, risk, staff, and maintenance of vehicles. Buying raw materials at bulk and sharing it with another manufacturer can reduce the material and inventory space. Intercom and internet calling, conferencing and video calling meetings can help reduce administrative cost.

Reduction in Labour Costs

Usage of technology for the manufacturing process like implementing sensors and automation, robotics can drop down as the number of labours drops as the automation requires less human interference and is more accurate. Using part time workers and free lancers can eliminate the idle time of labourers. Implementing methods to increase efficiency; comfortable positive workplace, eliminating overtime as it reduces efficiency, training employees, getting to know the employees, reskilling of the employees rather than assigning them monotonous task can help the manufacturer make optimum use of the labour force.

Customer related cost reduction

Technology can help the manufacturer cut down the cost in every stage of the manufacturing process and also at marketing. Using technology for marketing, advertising and promoting of goods can reduce cost abundantly. Designing products digitally 3D print of the product would help the manufacturer in better understanding of customer needs and can reduce correction and reproduction.

How to Find a Manufacturer

Finding a manufacturer online can be difficult. There are many ways to begin the process. Here are some of the best ways to start finding manufacturers.

Should You Look In Listings and Directories?

There are numerous manufacturer listings and directories available online. Some websites provide information free to the public, while others offer products like manufacturer databases and profiles that you can order for a fee. It’s a good idea to check out the free information first, as the products you have to pay for aren’t necessarily any better. Manufacturers want to get their names out there, so, many times they will pay to be featured on websites and you won’t have to pay to see them!

What About Trade Shows?

Manufacturers participate in trade shows in order to showcase their products and network with other people and businesses in the industry. These trade shows take place throughout the year and all across the country. Some trade shows are off limits to the public, but many are held as open conventions. There are websites you can use to find out about events that are going on in your area. Visiting a trade show gives you the opportunity to connect with manufacturers directly. You’ll be able to speak in person with company representatives and learn about the process of transforming your idea into a product.

How to Find a Manufacturer

What About Word of Mouth?

You might not know very many people who’ve come up with a successful product on their own, but it doesn’t hurt to ask. Word of mouth is often the best way to find a recommendation, especially if it’s from someone you trust. Ask friends that are in business how if they have found a good manufacturer, what they liked and didn’t like about the one they chose, and, most importantly, if they would work with that company again. If they still have a positive working relationship with the manufacturer, see if they can help you get the ball rolling.

Choosing The Right PCB Supplier is Not Rocket Science, You Can do it Easily

When you are looking for good quality PCB, it is very much important that you choose the right service provider. When they are available in ample numbers, the selection becomes real difficult. It is important to know about the factors that determine the top-class PCB suppliers in China.

You need to make a list of standards when you evaluate them from the long array of choices. Yes, it is the only way to do it effectively. Products, capabilities, and services all are equally important factors. You can’t overlook a particular aspect and give importance to others.

Choose the product of right quality

The more quality product you choose, the better is the performance. How to determine it rightly? Well, experts have answers for it.

Does the manufacturer use statistical process controls or manufacturing administration diagram during the production cycle?

Do they follow QCC or TQM to ensure continuous quality administration and improvement?

Does the production process keeps stringent quality norms and maintain the material inspection record?

If you are convinced that all these parameters are followed during the development process, then you can go for the respective PCB suppliers in China.

Choosing The Right PCB Supplier is Not Rocket Science,

Is the PCB manufacturer dedicated to your industry?

PCB suppliers in China supply PCBs to a variety of industries. When you are in a specialized industry, always choose a supplier that is restricted to your business. For example, a manufacturer that supplies PCBs to mobile phones carries substantial experience in the field. It may not do well in other areas.

In this situation, it becomes highly important to choose a supplier that is the best n the class. You can coordinate with a professional company.

Cost is sometimes the deciding factor if financials are not in the right shape. Even if you are doing well financially, it is always good to save a few bucks. Thus, the price of PCB should be checked and confirmed by multiple sources.

Read every single line of the quotation to avoid any ambiguity and hidden charges. Also, you should get discounts on successive orders. Even if you are not provided the lowest price, but it is profitable when there are successive discounts in the subsequent orders.

When you shortlist PCB suppliers in Israel; always prefer stuff that stands high in capabilities. Those who follow world-class quality norms always bring material that outshines in perfection.

Be skeptical while giving the order to PCB suppliers. It requires research and analysis.

Wholesale Suppliers – How to Protect Yourself from Fake Wholesale Suppliers

You can make extra money by going to the wholesale business. In fact, many people have discovered that there is huge potential to make money buying and selling wholesale products from China. However, to be successful in the wholesale business, you have to know where to get your products at a cheap price. It is important to find legitimate and reputable wholesale suppliers.

A simple internet search will yield thousands of wholesale suppliers. They all promise the lowest prices and the best deals for their products. Unfortunately, some of them may turn out to be fake suppliers. Many may even be middlemen pretending to be wholesalers. How can you tell legitimate suppliers of fakes? Here are some tips to help you identify possible fake suppliers.

First of all, check the vendor’s website. He must provide the company’s full name and company registration number, as well as provide contact details that include the business address and phone number. Check the address. Suspect if the address does not exist or if it is located in a poor or residential area. The company must also have a fixed number. Again, be careful if the provider only provides a mobile number. Legitimate businesses have fax numbers and business deals.

How to Protect Yourself from Fake Wholesale Suppliers

When you try to call, the respondent must give the business name and identify themselves, otherwise there is a high probability that the provider is not legitimate.

A legitimate company will ask for the company name or tax number for its own protection. Of course, they also want to make sure that they are dealing with a legitimate entrepreneur or entrepreneur. Failure on their part to ask for this vital information may indicate that you are dealing with a fake supplier.

Ask the supplier for a sample of the product. Legitimate suppliers will be happy to provide one or invite you to visit the nearest showroom. If you get evasive answers, it’s best to find another provider. You should also be very concerned if the company tells you that you have no stock available when you place an order, but insists that you pay first before you place the order. Probably these are middlemen who will get the products of a real wholesaler using their money. Worse, they can be scammers and you’ll never see any more products or money.

Another telltale sign that you might be dealing with a fake supplier is if they suddenly stop responding to your emails, especially if you ask too many questions.

You can also protect yourself by using secure payment methods like PayPal, Commitment and major credit cards. However, you should also be aware that many legitimate suppliers in China can only accept wire transfers simply because they can not get credit cards and PayPal. When dealing with suppliers for the first time, be safe and order only small quantities.

Finally, ask the other business owners and sellers about the company in which you are interested. The firsthand experience can give you a wealth of information that will tell you if the supplier is reputable and reliable.

Buy Wholesale Products at Discount Rates

We are in the recession period, if we do not consider cost cutting and low cost of production, then it will be difficult to sustain that market down.

Retailers sell products online or the retailers that sell their products on the market. They now need to review the retail price and profit margin.

Retailers who have a long tale of loyal customers have to keep them in this period because the competition is now cruel.

A retailer’s profit depends on the price at which they bought wholesalers’ products from any wholesaler, so if retailers want to continue their business with a similar profit margin, they will have to find wholesalers who offer big discounts on wholesale products.

Yes, the local wholesaler may not have as much option to give big discounts because they too may have been affected by the recession. So in this period, there remains one option: find the wholesale product vendor across the globe and buy wholesale products from the vendor that is globally available.

This is the age of the internet where everything is available just a click away. There are lots of wholesale online store are now available that are selling wholesale cell phones, electronic accessories, mp3, mp4 players, iPods, video games like play station, Xbox, computer accessories, household items, kitchenware etc. and all are ready to give drop ship facilities as well; retailers do not have to worry about that.

Buy Wholesale Products at Discount Rates

Let’s have a few summary points that can help online retailers or local retailers sell their products and find wholesale products.

– Retailers should search the internet and check the number of wholesale product stores available. Make a list of online wholesalers and a short list of them. Check which wholesale store is giving maximum discount and also check the size of your stock.

Sometime it is better to buy old-fashioned but very cheap products as people are now more concerned about cheap and discounted products regardless of the new fashion trends.

– Retailers can target a few products that are now less demanded or forgotten, these types of products will be available in these stores with more than 40-50% discount for stock release. And it means less to say that middle-class and lower-middle class people never forget discount items or cheap-priced products.

-Buy wholesale products from China is a good option as China has much less cost of production and all items are available at very cheap rate. China is one of the largest manufacturers of electronic products, kitchenware, cell phone, computer, garden, golf accessories, office and stationery, household goods and accessories retailer should keep eye on the Chinese wholesaler who sells products at discounted rates.

Vertical platform wheelchair lifts for people with limited mobility

Vertical platform lifts for wheelchairs help people with physical disabilities and other members of the elderly society access independently to different areas of their home or workplace. Platform lifts or vertical platform lifts for wheelchairs work with hydraulic or electrical systems. These wheelchair lifts eliminate the requirement of a caregiver, whose presence is often an intrusion on privacy.

The vertical piattaforme elevatrici for wheelchairs are the perfect solution for people with limited mobility. These teams help people with physical disabilities and other members of the elderly society to independently access different areas of their home or workplace. They eliminate the requirement of a caregiver, whose presence is often an intrusion on privacy.

Platform lifts or vertical platform lifts for wheelchairs work with hydraulic or electrical systems. These devices allow an individual confined to a wheelchair to be lowered or raised to a floor level without leaving the wheelchair. Lifts for wheelchairs, as the name suggests, lift the wheelchair. The stairs are the biggest obstacle for regular users of wheelchairs. Vertical stair chair lifts help these people easily access stairs.

The elevators of vertical platforms for wheelchairs come in different models:

• A closed model: with this particular model of wheelchair, the chair and the occupant can remain on a platform with walls that enclose them as they move up and down.

• Shaft way model: with this type of wheelchair model, you can easily access narrow stairs.

• Scenario model: this model is used regularly for situations of lower height, such as those found in a scenario.

• Opal model: this model is similar to the closed model, but has an open roof

You can select from a range of affordable vertical wheelchair platform lifts now available in the market. With the advance of technology, new functions are added every day to guarantee a movement without effort and without effort for the user. Vertical platforms of electric and hydraulic wheelchairs available; Electric elevators are cheaper in comparison. The hydraulic elevators have energy backup and work even in the absence of power.

The platform elevators for wheelchairs designed for straight stairs have all the mandatory safety features. The advanced models of these lifts have unique obstruction sensors that can detect obstacles on the road and stop the lift. This feature helps prevent damage to the user and prevent damage to the equipment. When the obstacle is removed, the elevator continues to move.

Wheelchair lifts are fast becoming a vital part of modern society. These help people with limited mobility to experience greater independence and freedom. Wheelchair lifts are value-added products that allow people to fight against physical challenges.

Who Are Freight Forwarders And How to Find The Best One in The Industry?

Freight forwarder companies deal with domestic or international transportation of goods. They are instrumental in the functioning of all import/export companies worldwide. They take care of all the requirements needed for shipping goods across 2 or more countries, and take care of all the legal paperwork that is required as per the law of land.

The freight forwarding companies guarantee that the products are delivered to the proper destination within the agreed time and in top condition. They negotiate with the ocean liners, rail freighters, cargo and trucking companies, etc and get you the best possible rates to transport the products. They also ensure help you choose the best economical route that offers balanced speed and reliability.

These companies usually provide more than one estimate to their clients and the advertisements, whenever necessary. The freight forwarder’s bid includes prices from origin to the desired destination with special requirements such as refrigeration and packing materials. Once the client has accepted the bid, these service providers undertake responsibilities of arranging packing, transportation, and storage from the point of origin to the destination.

One of the biggest advantages of hiring freight forwarding services is that it takes care of additional responsibilities, which are a part of the domestic and international shipping process. These companies also offer bill of lading, warehouse risk management and assessment as well as international payment modes.

They help clients save time and avoid unnecessary headaches when offering reliable shipment of products at economical rates. Freight forwarders are an asset to almost all the companies deal with export and import of the goods at an international level.

Who Are Freight Forwarders And How to Find The Best One in The Industry?

Freight Forwarding Principles:

  • Cost effective and efficient transport of goods
  • Managing Logistics
  • Successful shipping and trading
  • Following Custom Regulations
  • Negotiating Tariffs
  • Assurance of goods to be transferred in top condition
  • Managing and Assessing risk involves in shipping of goods

How can you find reliable freight forwarding company?

There are many freight forwarders located in a majority of the areas. You could refer to the local telephone directory, speak to your contacts or get online. Usually, the directories have a list of all the freight forwarder (for international services) in your area. You could choose the one that meets your expectations and hire them for their services.

However, before you do so, make sure they offer first class services and are creditable. Just like make scampers in other industries, you will also find some here. Thus, it is advisable that you thoroughly research about these companies, and only when you are convinced, you hire them for the job.

There are some privately owned freight companies, and others are governed by the state law. You could choose any of these. However, if you are going with the private freight forwarders, then make sure you check that they are licensed to serve in the state. All these things will help you make sure that your goods are transported with utmost safety and you have nothing to worry about.

All About Outsourcing And Manufacturing

‘Ends justify the means’ is an English saying which can find an easy application in the case of companies and firms. Organizations look towards earning maximum profit, whatever be the means to be followed for achieving this goal. Outsourcing China manufacturing is a good way to drive the companies making these products towards profit. Why? Let us know.

Actually, for earning profits, there are two ways. Either you can increase your selling cost or you can decrease your manufacturing cost. And it turns like the icing on top of a cake when both are made possible. But, increasing the selling price is dangerous as it may drive your costumers away which would lead to a ninety degree fall in your profits. So, the best path for boosting profits is through decreasing the manufacturing cost as it is in your control.

As stated above, outsourcing of China manufacturing can be the best means to reduce the cost of production. Lower cost of labor available in most of the developing countries cuts the cost of production. Lesser the manufacturing cost, better the profits!

All About Outsourcing And Manufacturing

Anyways, there are other paths you can follow to reduce the manufacturing cost like using a lower grade material for the production. But, this can prove disastrous as the lower grade material will also impact the quality of your product.

Hence, pen down this fact in your diary that you should always try to go for outsourcing of China manufacturing if you are planning to survive in the business for long.

However, there also are certain points that you need to keep in mind before going for such tasks. The first and most significant point is that you must have a proper exchange of all necessary documents. All those documents should be verified such that there is no chance of any act of misleading. Further, you should also know different trade secrets to make a good profit through the deal. Last but not the least; you should even try to have an agreement done for the quality of the produced products. The best way here is to sign an OEM agreement which can always protect from any legal issues arising during the transactions.

Again, if you don’t stick to the above points, it could lead you to a state of utter complications and confusions.

Use Chinese Manufacturing Solutions to Boost Your Reputation and Profits

The downturn in the global economy has meant that many European manufacturing companies have had to cut costs in order to stay competitive, especially when you consider that similar products of equal quality is available from countries with lower manufacturing costs like China, India, Vietnam, Thailand, Philippines, etc. Of these countries mentioned, China offers the best bet, because of many favorable factors like cheap as well as skilled labour, natural resources, and cheap energy costs.

Complete Package

This equation has lead to many manufacturing companies opening up offices in Europe and the United Kingdom where there are teams of qualified staff who can assist you in developing any ideas or product from the designing state right up to the manufacturing stage, which will be done overseas in China. This service has already proved to provide huge benefits to potential European customers, because of their ability to handle any project, however, big or small. Some of the China manufacturing solutions cover diverse manufacturing fields like steel, injection molding, engineering, technology, etc. These services from China include discussion of the concept, choice of final design, making a trial run to see how the end-product looks like, quality control, and even packaging and shipping.

Use Chinese Manufacturing Solutions to Boost Your Reputation and Profits

International Clients

To ensure that there is no compromise in quality during the manufacturing process, contract manufacturing in China uses the services of only top quality Chinese manufacturers who have the necessary qualifications and capability to complete the order to the precise specifications dictated by the client, and ensure delivery of the product to the client on schedule. To do this, reputed contract manufacturers keep up-to-date on industrial accreditations like ISO 9001 and other similar qualifications. Manufacturing facilities are regularly inspected to ensure that they are in tune and adhere to the specifications dictated for getting these accreditations renewed. Currently, many of these companies service clients from all over Europe, Israel, Australia, and the United Kingdom.

Total Satisfaction

One of the most important qualities that guarantee any China manufacturing solutions to work successfully is that they should have a clear and precise understanding of what are the clients’ requirements with regard to the product in question. To do that requires the services of skilled and qualified staff to plan the first crucial stages of design, arrange for the resources in China, and work with the engineers before starting production. This is important because once production starts, it will be very expensive and difficult to make any effective design changes. Even the packaging of the product has to be decided in advance in order to source the materials and arrangement made for the manufacture and delivery of the items to the factory for packaging before shipping it to the client.

Amazon FBA Will Help Build Your Business

Amazon’s FBA program is an excellent opportunity for the vast audience of entrepreneurs. Especially those that are starting out as a one man shop. What’s remarkable with Amazon FBA is its scalability. As a one man shop, you can compete with the bigger and more established seller. Small businesses are limited in storage space and the time management to sell, list, make and ship orders.

You can fulfill small orders (ex. 20 per day) as well as the larger orders (ex. 100,000 per day). Which translate that you can start out as a mom and pop shop and flourish as a larger corporate using Amazon’s Fulfillment. You can now handle the increased volume in an efficient way while managing your inventory and spending your to source your product.

This will reduce the competitive advantage of the bigger seller and enable you to make a real income and grow as big as you desire. Think about it. You just need access to your product(s) of choice. Amazon FBA provides a stream of income that you can take to a whole new level. At each fulfillment center, (Amazon has over 65) you are hiring at LOW rates per order a staff that takes care of the order processing, shipping and customer.

The seller only has to source your product(s), spend your time processing those items and shipping them to Amazon.

Amazon FBA Will Help Build Your Business

Some of the key benefits of Amazon FBA:

· You have access to tens of millions of Prime customers

· Scale order handling and build logistics both on and off Amazon·

· Sell globally by using the FBA export program to gain access to customers globally at no additional cost to you.

· Multi-Channel Fulfillment (MCF) is an optional program by FBA that allows you to easily leverage Amazon’s world-class Fulfillment Centers for your off-Amazon orders.

·… And take a paid vacation while FBA works for you fulfilling customer orders and managing customer service.

· You have access to tens of millions of Prime customers

· FBA now represents a growing 45% of Amazon’s revenues

· Amazon Prime started in 2005

· In 2009 Prime had 2 million members; in 2011 there were over 5 million; in 2014 there are over 20 million members

· Prime represents only 6% of Amazon’s total customers so far

· Prime is growing at over 20% Year Over Year

· Prime customers spend 140% more than regular Amazon Customers

· 40 % – 50 % of Amazon customers have never purchased from a third party

With FBA sourcing, Amazon can help improve your online sales and keep customers happy, while saving you valuable time so you can focus on growing your business.