When your
business entails importing products manufactured in India, it’s vital to
incorporate a quality control process in the factory you work with. Even the
best managed factory might not always produce a perfect batch, so a robust
quality control plan should be used to ensure your specifications and quality
expectations are met within each and every order. Read on to learn what is
quality control and how to protect your business when buying from India.
What is Quality Control?
Quality
control can
focus on both product specifications and manufacturing process specifications
for any type of good and is especially important for importers sourcing in
India. The goal is to identify any problems, defects, and non-conformities
in the product that doesn’t follow required specifications from the buyer,
supplier, or from general international standards. When caught early enough,
these issues can easily be solved to fix the initial batch and avoid any future
problems.
Challenges for Importers Sourcing in India
Sourcing
products from India may be the
competitive manufacturing option available, but there are a few reasons for that.
Import business owners face a number of specific challenges that can affect
their return on investment as well as the delivery of goods. The first major
issue to be aware of is that importers typically need to purchase goods in
advance. Since payment is generally released to the manufacturer prior to the
goods being shipped out, you run the risk of receiving low quality goods with
few (and costly) options for sending them back or reworking the goods locally.
Whether the factory’s mistakes are deliberate or not, the bottom line is that
they impact your business. The expense for both shipping and customs duties
would be enormous, not to mention the amount of time it would take to send back
products and receive a new batch. Since many smaller businesses don’t understand
the intricacies of India’s legal system, it’s very unlikely a lawsuit would
have any success. So in this situation, the importer would take a financial
loss if the goods’ quality was not at an acceptable level because there’s
little to no recourse for the factory even if they don’t fix the problem. Even
if the business decided to sell the product anyway, their brand image could be
substantially damaged if customers viewed them as lower quality.
Quality
control not only ensures the quality of the product, it can also monitor their
timely delivery. Without
a quality control plan in place, production schedules can fall behind
and you might miss your sale season, resulting in low product turnover.
All and all, it is essential for an importer sourcing in india to quality control their goods before, during and after production. You should check yours goods at pivotal points in the manufacturing process and communicate with the supplier to get any potential problems fixed before it’s too late. To do so, you can manage it all by yourself together with the factory or work with third parties.
Who Performs Quality Control in India?
There are
a few different options for quality control when importing from India. The
first is the supplier’s in-house review of the manufacturing process.
However, it’s pretty obvious that solely relying on the manufacturer presents a
conflict of interest. At the end of the day, they are likely to be more
concerned with their own financial interests than the quality of your products.
To get a better idea of how the supplier operates, consider performing a factory audit prior to the confirmation of your
order. This will give you a clear idea of exactly how they control the quality
within the factory. You might also check the factory’s licenses and
certifications, along with their production capacity, human resources policies,
and more.
Another
way to perform quality control is through your trading or sourcing partner
in India. You could consider requesting that they add a product inspection to
their other duties; however, this also carries a high conflict of interest.
Intermediates negotiating with suppliers need to keep good business relationships
with them, and some may even receive hidden commissions from the factory that
you don’t know about. In this situation, it is very difficult for them to
provide a neutral opinion because the financial pressure and incentives are too
high.
You could
also decide to have your own quality team. This strategy requires
intensive training on your product, plus local human resources management
available anytime you need them and based near your supplier’s locations.
Travel time and transportation costs could quickly add up if your suppliers are
located throughout the country. There are additional risks as well. Because
quality teams have a limited number of human resources, the same quality
inspector will regularly be in charge of verifying goods at the same supplier’s
site. There is a high chance that QC and suppliers develop a friendship that
will end up with risk of corruption or at the very least influence his point of
view on the goods’ quality.
As an
alternative, there is a wide range of reputable third party inspection
companies who advocate on your behalf in India. The company’s sole purpose
is to protect you and your financial interests by verifying the goods based on
your requirements. They have a neutral relationship with the supplier or
trader; in fact, their business relationship is on one side only: the importer.
They can provide several QCs to visit a unique supplier to keep the opinion the
most neutral. They are able to provide services all over Asia for the big
players. Plus, many importers are surprised at how affordable professional
third party inspections are, especially compared to the potential for loss if a
low-quality shipment makes it to your door. When searching for the ideal
quality control company, make sure it holds iso 9001 license from the
Indian government. Also be aware of non-reputable or poorly managed companies
whose employees might be open to bribery from the factory to inaccurately
represent information during the quality control verification process.
What Does Quality Control Include?
When you
work with a third party inspection or your own
quality team, the process is very detailed and specific to your product.You
develop a detailed inspection protocol based on a checklist and your
own quality requirements. The inspection protocol sets up all the
different verifications the QC may have to perform while controlling the goods
on-site: it includes cosmetic verification, functional verifications as well as
conformity to your requirements verification. It’s best to be as specific as
possible to ensure every detail is controlled and evaluated as you want it.
Provide clear details, otherwise the inspector and the manufacturer will use
their common sense which may be different from yours. Also realize that your
checklists should be constantly evolving as your own specifications change. You
can even provide your inspector with a reference sample to be used in
conjunction with the specification sheet to get the best results.
Sourcing
in India can be challenging, no matter how long you’ve been doing it. Quality controls are key to
protect your business. They are important for the first shipment concerned but
also for the recurring orders. They can then help your factory prevent
similar mistakes in the future while getting the current shipment out the door
within an appropriate amount of time and the guarantee that your
goods are sellable. Thus, make sure to rely to the right quality control
experts when performing product inspections. Having a third party inspector is
probably the most flexible and reliable option for small and medium companies,
as they guarantee product expertise while sitting on your side to defend your
interests. Not only that, they can quickly operate all over Asia. With a third
party inspection company, you keep control on your goods quality and benefit
from their expertise regardless of location.
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