When working with offshore manufacturers and vendors it can be beneficial when you have a reliable supplier base that offers quality components lines. You want to make sure that it’s the right decision for your company, and that you find the right partners to do business with.
Several U.S. manufacturers including Stern Industries have the capability of quoting projects with offshore manufacturers. We have an offshore division that manages and works with suppliers of products produced in various Asian countries to locate, qualify, and manage products in order to supply customers with high quality reduced cost components and sub-assemblies. When you are working with a U.S. manufacturer that has a reliable supplier base with an office offshore – it puts them in a position to help customers fulfill their current and future offshore product needs.
One of the main reasons for the difference in pricing between offshore and domestic manufacturing is the tooling dollars. We’ve seen instances where the tooling dollars were 80% cheaper offshore compared to domestically. In our opinion, offshore manufacturing gives customers options when looking how allocate the funds for a project.
Here’s our tip: When working with a manufacturer that has offshore manufacturing options, be sure that frequent quality audits on product shipments are conducted. One of the biggest push backs on offshore manufacturing is quality. And when you have a reliable U.S. manufacturer ensuring that the product shipments are reliable — you can have ease of mind that you are making the right decision.