What are the most important considerations to keep in mind when

  • Prior to placing an order with a manufacturer, an importer may request a factory audit, which is a physical inspection carried out on the importer's behalf at the manufacturer's manufacturing facility, to ensure that the order is accurate. Factory Audit can help you avoid getting yourself into trouble by working with the wrong factory in the first place. Not to be confused with quality management system auditing, which includes not only the quality management system, but also the auditing of the auditing of the auditing of the auditing of the auditing of the auditing of the auditing of the background of the company in question, as well as the auditing of the company's industrial experience and exporting history.

    Making the decision on which factory to partner with in order to conduct business is an important step in the development of a successful business venture. As a result of increasing pressures from poor rice production and an unstable labor market throughout the country, an increasing number of Chinese manufacturers are closing their doors on a daily basis, according to the International Labor Organization. For best results, it is best to identify and address critical issues as soon as they arise so that you are not caught off guard when they occur.

    If you are considering sourcing products from a new supplier and factory, how do you know which aspects of a Factory Audit are the most important to pay attention to?

    1. Confirm that the supplier is a legitimate business.
    When a Factory Audit Service is carried out by a reputable quality control firm, the risk associated with working with a supplier is reduced significantly. Especially important for first-time suppliers is the ability to communicate effectively. It's critical to obtain all of the necessary certifications and licenses as soon as possible so that you can begin selling and exporting your products as soon as possible. According to Chinese law, the business license will include information about the date on which the company will be registered, as well as the scope of the company's operations and activities, among other things. The factory is not eligible for manufacturing if the manufacturer's business license does not include production language, as indicated by this message. To determine whether or not the building is legitimate for use in the manufacturing process, it is also necessary to obtain a rental agreement or a certificate of ownership from the landlord.

    2. Inspect the manufacturing process as it is being carried out?
    Is it necessary to take the manufacturing process into consideration when conducting a new Factory Audit? The manufacturing process revealed a great deal about the expertise and capability of the team members who were involved in the manufacturing of the product. Small businesses are very common in having only one production process, such as an assembly line, or in combining a number of simple production processes into a single larger production process. Unless the manufacturing process is extremely simple, it is likely that a factory will have difficulty maintaining complete control over the vast majority of quality aspects on its own. As the number of production processes that are subcontracted to other suppliers grows, the likelihood of a quality issue occurring will increase.

    Among the items on the list are machines and other equipment, as well as measuring instruments.
    The ability to gather information about machinery and equipment makes determining whether your production capability and manufacturing process control will meet your expectations much easier. Working with a client who is looking to purchase children's rainboots from a variety of different manufacturers and retailers is what I'm currently doing right now. The possibility of working with two suppliers is available, one of whom has an in-house mold-making workshop as well as an Italian injection machine, and the other who does not have an in-house mold-making workshop but does possess a domestic injection machine. While considering doing business with a factory that did not have its own mold-making workshop, the client decided to form a partnership with one of these factories because the costs associated with running a company were lower in these factories. This is due to permanent flaws in the outsole that result in shrinkage, which means that the factory is unable to maintain strict quality control throughout the manufacturing process. The factory was forced to close as a result of their inability to properly design a mold as well as construct a dependable injection machine for the product. The client has finally made the decision to terminate his or her business relationship with the manufacturer.

    Determine whether any human resources are available to you at this time.

    When it comes to a successful Factory Audit process, it is also important to check on the availability of human resources. When you have a clear understanding of your company's human resource structure, it is possible to determine how many workers are required for production and how many people are required for product design. Consequently, a factory with only a production department and no quality assurance department will be unable to maintain the necessary control over the quality of the products produced in the factory. In addition,It is an indication that the company has engineering capabilities that will be extremely beneficial to the manufacturing process if a product development and engineering department is established.

    5. Confirm that the organization has the capability to manufacture.
    The vast majority of the information in the audit report's information on production capability is incorrect, according to the information in the audit report. What is the underlying cause of this? Due to time constraints, the auditor only requested that the manufacturer provide the data and keep a copy of the data on file. The manufacturer agreed to this request. What methods do you employ in order to gather reliable information? According to my opinion, if the manufacturer is able to provide an annual report on manufacturing operations, the data will be more reliable than otherwise. If, for some reason, the manufacturer is unable to provide us with this type of annual production report, we can ask him to provide us with a copy of an annual contract from a large client.

    6. Evaluate the overall effectiveness of the quality management system in its entirety. The effectiveness of the factory's Quality Management Systems (QMS) will be evaluated by the auditing team when they arrive on the premises.

    In accordance with the ISO 9001 quality management system standard, they will assess and rate them accordingly. Upon completion of your supply chain risk assessment, you will have a much clearer picture of whether or not there are any quality risks in your supply chain, which will be extremely beneficial.