Results tagged “plant tours” from The China Sourcing Blog

The time that a buyer spends at a plant is crucially important. The main goal of taking a plant tour is to observe and judge the plant. So, taking full advantage of this visit comes down to a few very important considerations: What aspects should you pay particular attention to during the trip? and What questions should be asked in addition to inquiries about the product itself?

Here I want to share some tips based on my personal experience.

  • The boss/decision maker of the plant

    In general, the boss/decision maker’s attitude or working style is conveyed to his/her subordinates, and hence it will affect the efficiency of the whole production/delivery procedure. So if you find the boss is unprofessional or uncooperative from the very beginning, you should think twice about your choice of supplier.

  • The equipment of the plant

    The equipment can normally give a clear impression of the abilities of the plant. We are not necessarily saying the equipment has to be imported equipment; rather, we try to understand if the given equipment can deliver the ideal product. Asking the plant for the equipment list and maintenance status will be a smart test.

  • The production procedure and quality control

    Asking the plant if they have proper production procedures/quality control systems is very important. That helps us to understand if there is a systematic way to audit the whole process of implementing our order and insuring the right product is delivered on time. Normally, our questions would be along the following lines:
  1. Does the factory have daily production reports?
  2. Does it keep a weekly production progress report to identify and compare in-process and completed orders with order delivery dates?
  3. Does the factory have a written QA procedures or manuals?
  4. Does the factory complete its own final audits?
  5. Does the factory have documentation inspection standards?
  6. What percentage of received raw materials is inspected?
  7. Is there an inspection process between each production section?

Of course, the questions above are only part of what should make up the most frequently asked questions, and these are also subject to each buyer's individual needs during the visit. Yet they can be used as a basic guideline of what needs to be asked. 

  • The working environment of the plant
People sometimes tend to neglect the working environment of the plant. But this is actually an important indicator of the quality of the plant and of some aspects that will affect the quality of the product, such as cleanliness and tidiness of the production areas, and adequate lighting in the factory, especially in areas that will affect the quality of the product (inspection, hand operations, painting, silk screening, printing, packing, testing, etc.), etc.

Generally speaking, many aspects affect and can reflect the quality or the standard of the plant. Different products, different amounts of an order can sometimes also make different requirements of the plant. The visitor should prepare the necessary questions beforehand, and not merely ask random questions during the visit.
After you have arrived in China, the following are crucial points to consider. 

  • Choose your visiting time wisely
We always try to arrange plant visits at two time slots: 8:30 – 11:00 and 14:00 – 16:00. Compared to normal office times in the West, Chinese plants have different working hours. They start and close earlier and have a longer lunch break. You can only see the production line in operation in one of these two time slots.

  • Things to look out for during the workshop tour
Every company has their own evaluation methods to rate suppliers. Here we just mention a few basic points that we have picked up from experience.
  1. Ask and verify the raw material sources of your suppliers to make sure that the products are qualified to meet your country standard
  2. Check the production process in detail. Make sure their examining and testing machines are actually functioning properly
  3. Check the warehouse. By doing this you will easily be able to figure out their production capability and product development
  4. Make sure their export packaging meets your requirements, especially if you are the first client from your country working with this supplier. The customs of different countries have varying rules regarding packaging. Do not assume the supplier knows the requirements of your country
  • Meeting manners
When you hand out business cards, please hand it out with both hands and try to pronounce your name slowly and clearly.

  • When in China, do as the Chinese do
Chinese people will always invite guests for lunch or dinner, especially if it is the first time you meet them. You may follow the head of the group and get seated beside him. Fewer suppliers these days will force you to drink with them, but if you do drink with them, it is definitely a sure way to establishing a good relationship.
All international purchasing managers try to minimize import risk. As a China sourcing expert, in order to achieve this goal we will always recommend you to undertake plant visits to China before you place an order, for the following reasons: 

 

  • It makes sense to meet the people who you will be working with before you place an order. You will get to know their personality and will start building a relationship with them. As we know, good relationships (or guanxi in Chinese) play a crucial role in business in China - hence the value of a face-to-face meeting can never be underestimated.
  • You can inspect manufacturing areas to get an idea of raw material quality, workers’ skills, production capabilities and the internal QC process of the manufacturer. There is nothing better than to see it with your own eyes.
  • You can find out to what extent your manufacturers subcontract their production to other plants by checking their work areas and warehouses, or by asking them during meetings.
  • You can experience the working environment and meet the workers to be sure that your suppliers are not using child labour and are providing protection masks etc. 
  • By making the trip to China, you can give your suppliers a sure signal that you are really serious about quality issues, and more so if you emphasize quality during your meeting. When they produce and deliver products, they will put you in a ‘Picky clients’ list and will therefore be more careful with your products.

 

Some extra benefits you can gain from visiting your China plant:


  • You may find out that you can actually source many other products in China besides those in your current plan. I had a client before who saw good packaging material during his plant tour in a steel tube plant and finally ordered some packaging materials as well.
  • You may see your competitors’ products in a production line during your plant tour. This happens a lot in the top equipment manufacturing plants of China as they get orders from all major international players.