Factory Outsourcing

Supply chain management and logistics

Sourcing Management / 采购代理

China offers a wide range of industrialized products at competitive prices to the international market. However, its commercial edge does not guarantee that processes relevant to the supply chain are carried out to the standards required by the buyer.

To implement an efficient sourcing process, we supervise the performance of your supplier(s) in China by deploying a specialized management strategy at a local level. With a deep understanding of business practices in China, Lotus Consulting offers:

  • Management of sourcing projects in China.
  • Search and certification of providers.
  • Factory auditing.
  • Contract negotiation.
  • Quality control inspections.
  • Personal assistance during business trips to China.
  • English/Chinese/Spanish interpreting.
  • Logistics support.

Business License Verification / 供应商验证

Manufacturers play a fundamental role in the supply chain, as they directly influence the overall performance of the buyer’s operations. In consequence, it is necessary to conduct due diligence investigations of your potential partners in China.

As a first approach to understand their legal status, acquire information from their licenses and certifications, and validate it against official government records, Lotus Consulting offers you the following services:

  • Supplier research.
  • Business license verification.
  • Inspection of additional documents requested by the client.
  • English/Chinese/Spanish translation of relevant information.

This service does not include physical audits to offices or production plants. In case physical inspection of a factory or manufactured goods is required, please consult our services of Factory Audit and/or Quality Inspection.

Factory Audit / 工厂审核

To supervise the performance of a supplier in another country is no easy task, particularly in China, where linguistic and cultural barriers increase the difficulties inherent to supply chain management.

To effectively address these issues, we verify your supplier’s documentation against records provided by government institutions. Our reports include extracts from business licenses, quality certificates, export permits, and any additional documents requested by you.

Furthermore, we physically inspect offices, laboratories, production lines, warehouses, and all facilities related to the sourcing process, to generate a detailed report of the supplier’s infrastructure and human resources. Our service includes:

  • Formal introduction of your company to the supplier.
  • Inspection report of the supplier’s legal documentation.
  • Inspection report of the provider’s facilities.

Quality Inspection / 质量检验

To supervise the progress of your sourcing projects in China, we apply both custom designed samplings and international quality control standards such as ISO 2859-1 and ANSI/ASQ Z1.4 in four types of quality inspections:

This certifies that the factory has the necessary means to comply with the buyer’s requirements before starting production, and thereby reduce the probability of miscalculations, omissions and delays to a minimum.

In this process, we compare production plans, itineraries, facilities, raw materials or components, molds and other requirements prior to the start of production against agreed conditions stipulated in written form.

Inspection is carried out when 20% of the production and packing has been completed. This allows the buyer to know the quality of the product at an early stage, enabling the correction of defects and preventing delays in delivery.

This is the most useful tool available to the importer, as its implementation protects delivery schedules. Later corrections and re-inspections would consume more time, undoubtedly affecting delivery of the products.

This inspection is carried out when at least 80% of the production has been packed and before it is loaded into containers, allowing an actual random inspection.

This type of inspection simply reports product quality prior to delivery and does not function as a method to prevent delays. For this reason, it is advisable to implement this process only as a complement to an inspection during production.

This inspection is generally used in cases where stowing and loading order are of vital importance and must be carried out under a strict control.

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