How to Evaluate Potential Manufacturers

Considering Location and Logistics

Even though a manufacturer may check off all the boxes in terms of capability and production, if their facility is too far away, your own business could be negatively impacted.

Working with a manufacturer closer to you can be more cost-effective, especially as transportation is affected by fuel prices, shipping methods, and distance. If a manufacturer site is too far away for your purposes, additional shipping costs could add up quickly–especially if product volume is large.

Closer proximity improves supply chain efficiency, reducing lead times, helping you meet customer demand (and preserving your company’s reputation). The other perk of being nearby is that you can communicate with the manufacturer more easily, or even in-person, rather than dealing with different time zones or possible language barriers if they are in another country. In some cases, a manufacturer may be so close that you are able to visit their facility too.

But what if you really have your heart set on working with a manufacturer far away? It would be wise to do your best in confirming whether they have a proven track record in meeting deadlines and delivering on time, despite distance.

Tip: Find out more about using and providing manufacturing services close to home, as well as offshore, in our MFG ebook, Onshoring, Offshoring, and Nearshoring.

Inquiring About Production Processes and Capacity

Although you may have found a manufacturer who seems to be a great match in terms of cost and turnaround time, production processes and capacity-level can have significant impact on end products and delivery times.

Here are several key issues to explore before making a decision:

• Quality control – Quality is always expected. If you are producing parts for use in critical applications like aerospace or automotive though, it is especially important to review the manufacturer’s quality control methods to ensure they can deliver parts up to your standards. Ask about inspection processes, procedures for dealing with defects, and what corrective actions the manufacturer takes to ensure quality in end products.
• Volume and capacity – Ask the manufacturer about their equipment, manufacturing techniques, and capability to make the volume of products you need, on time. Get up to speed on any potential bottlenecks or ongoing projects at their site that could delay production. Be aware of supply chain disruptions, and ask about contingency plans for keeping your project on track.
• Hidden costs – While making sure that any manufacturer’s production costs are within your bottom line, don’t forget to ask about the possibility of hidden fees or charges that could sink your budget.

Effective communication is crucial when working with any manufacturer. Tip: It’s important to establish whether they will be open to consistent check-ins and progress updates to ensure a successful outcome.

Measuring Customer-Service Skills

Good customer service can help you resolve any issues that may arise, and ensure you receive the support you need.

You can usually learn a great deal about a manufacturer’s level of customer service by reading online reviews included on their MFG Manufacturing Profile. Looking at how many jobs they have accomplished on MFG and the review of the work given to them by another MFG user can give you a peace of mind when searching for the right manufacturer.

Tip: Using MFG to research your chosen manufacturer will give you the ability to evaluate based on previous work accomplished with other MFG users.

Assessing Innovation and Technology

Manufacturers that embrace innovation and offer the latest technology are better equipped to meet the demands of their customers. Ask about their R&D efforts and investment in new equipment and software to determine if their capabilities align with your goals.

Does the manufacturer you are interested in working with have experience in producing the parts you need? Seek out manufacturers that have been in business long enough to establish a proven track record in making quality products.

Tip: In the MFG directory, manufacturers list the machines that they have onsite. If you know or have researched which machines are best for your job, this might be a good way to find a fit.

Asking About Their Approach to Sustainability

When looking for a manufacturer, it is important to learn about their sustainability practices. An increasing number of customers are more environmentally-conscious these days, and your products should align with their values and expectations too.

Following are some topics you may want to ask about:

• Material sustainability
• Reduced/recyclable packaging waste
• Energy efficiency
• Carbon footprint reduction

Ultimately, asking for and promoting sustainability is not only good for our planet—it’s good for business too.

Choosing the right manufacturer is a critical decision that can have a significant impact on the success of your business. With careful research and consideration, you should be able to establish a partnership with a manufacturer that helps you achieve your own business goals and deliver high-quality products to your customers.