Category: Shopify Tutorial

Elksourcing:Essential Knowledge to Quality Inspection

For importers, it’s important to have its own inspector or 3-rd party inspector to do quality inspection prior to shipment, however, the process and exact work details are daunting for most new importers.  Most product inspections follow a process with several specific steps. When an inspection goes wrong, it’s most often because steps weren’t clear, or inspectors otherwise didn’t follow them according to the buyer’s instructions.

1. Pulling random samples for inspection

Most importers know the importance of pulling random samples during QC inspection using a statistically-significant acceptance sampling method. Without pulling samples randomly, you risk getting a report that doesn’t fairly represent the quality of the entire shipment.

Factory staff can actually hinder inspection accuracy if permitted to choose which units will be checked. Some may “cherry pick” samples or direct inspectors to check units they know will meet requirements from a specific area of the warehouse.

2. Checking the product against specifications

You might provide your QC team with CAD drawings, an approved sample and other reference materials to clarify product specifications. Your QC checklist should not only direct your inspector’s attention to these, but also list any other specifications they should check during inspection.

A QC checklist typically covers product specifications such as:

A.    Item weight and dimensions

B.    Material and construction

C.   Item color

D.   Item marking and labeling, and

E.    General appearance

3. Verifying packaging requirements

Obvious problems with packaging are normally easy to spot. But some of the more specific details are easy to miss during inspection and reporting if you don’t include them in your quality manual.

Your inspector will typically reference your checklist for the exact type of packaging, markings or labeling, artwork and other requirements they must confirm at the factory.

4. Classifying and reporting quality defects

Most products are prone to a set of quality defects unique to their product type. For example, warping is a defect known to affect wooden products. And flash is a defect known to affect injection-molded products.

But without clarification in your QC checklist, your inspector is likely to misreport—or omit from their report entirely—any product defects found.

QC professionals typically classify defects as “critical”, “major” or “minor” in order of severity. And inspection checklists often have a section for defects and how to classify them, which the inspector uses to determine defect severity.

5. Conducting on-site testing

On-site product testing is an essential part of QC inspection for a wide variety of products. Inspectors conduct product tests to identify any issues that might affect your products’ safety, function or performance.

Product inspectors rely on inspection checklists to provide testing criteria and procedures, testing sample sizes and more. Inspectors might perform testing incorrectly or misreport the result if they’re following an incomplete QC checklist.

Let’s say you’re manufacturing electric blenders—a product with many parts that need to work together:

A.    The lid must fit correctly onto the container

B.    The container must fit correctly onto the blade assembly; 

C.   The blade assembly must fit correctly onto the base unit.

Conclusion

If you were at your supplier’s factory personally inspecting your order, you would want to check certain aspects of your product. And while you might not be available to inspect every order, you can still advise others on how to review your product based on your same standard.

By remaining mindful of how product inspectors use inspection checklists, you can help inspectors help you. With the aid of a QC checklist, your inspectors are more likely to be fully aware of your quality requirements.

When QC staff have a detailed checklist on hand you can sleep more soundly knowing that you’ve provided all the information necessary to conduct a thorough inspection.

Elksourcing:Checklist Used in Quality Inspection

A quality checklist refers to a document that outlines quality requirements and specifications in a clear and concise manner for your supplier.

An effective quality control checklist template should cover the following technical areas.

1. Packaging requirements

This first major section should contain details about the shipper carton, any inner carton and any retail carton or packaging. Packaging requirements are important for your supplier to reference here, regardless of whether you will verify packaging during inspection.

The packaging section should typically contain the following: 

A.    Packaging weight and dimensions

B.    Shipper carton labeling and marking requirements

C.   Shipper carton material requirements (e.g. single or double layer, binding method, white or brown cardboard)

D.   Packaging method and assortment

E.    Retail packaging printings, graphics and labeling

Product requirements shown on the quality control sheet should include:

A.    Product weight and dimensions

B.    Material and construction

C.   Product color (consider including Pantone color codes where applicable)

D.   Markings and labeling (e.g. UL or the voltage rating for electronics)

2. On-site tests and checks

Almost any product inspection should contain some on-site tests and checks. Including this information in your QC checklist helps inform the supplier of what tests you expect the product and packaging to pass.

A.    Barcode scan check (for any items with a barcode)

B.    Carton drop test (for packaging)

C.   GSM check (for fabric density)

D.   Moisture check (for wood items, such as furniture or moldings)

E.    Cross hatch adhesion test (for enamel-coated cookware items)

F.    Vulcanization test (for rubber items, especially footwear)

G.   Function test (applicable for most items)

H.   Hi-pot test (for electrical items)

3. Required inspection equipment

Since you wouldn’t have any way to verify fabric density at that point, you might be forced to:

A.    Reschedule the inspection, needlessly costing time and money or

B.    Ship the goods without knowing fabric density, which could result in unhappy customers or receiving unsellable product if density is too low.

4. Specifying who will provide equipment

In the fabric density example above, you might have included this test and the required equipment in your quality control inspection checklist. But the supplier could mistakenly think the inspector will bring the testing equipment.

Likewise, the inspector might assume the factory will have the equipment available on-site. To prevent this mix up, include who should provide each piece of equipment in your quality control checklist template.

5. Defect classification

You might mention specific quality defects or other issues to your supplier and tell them which ones you can and cannot accept. You might even provide photos of these and describe the level of severity of different issues that’s acceptable.

But a much better way to provide objective tolerances for quality issues is to include a section in your QC checklist for classifying defects. This section should point out any and all potential quality defects and classify each as either “minor”, “major” or “critical” 

This section of your quality control checklist template also tells the supplier and inspector about your tolerances for product defects.

For example, you might classify a gap between product components as “minor” if it measures 3 mm or less but “major” if it exceeds 3 mm. You might specify that glue residue on a product is a “minor” defect if it can be easily removed but “major” if it cannot be removed.

Conclusion

Creating a quality control inspection checklist should be among the first steps you take to develop an effective quality control program. Creating a quality control checklist template for all subsequent inspections will help ensure consistency in reporting and results.

A detailed checklist can save you a lot of trouble in the long run. As a handy reference for workers on the factory floor, it can prevent sub-standard or non-conforming goods. And since this document is in writing, it can also serve as a reference if you have a disagreement with the factory about product standards.

Elksourcing:Various Quality Inspections in Supply Chain

When a company purchases items from a vendor, a quality inspection is usually necessary. There are various quality inspections in supply chain such as inspections during the manufacturing process, inspection of the final finished product, and inspections while the items are stored in the warehouse.

1. Importance of Inspection of Purchased Items

The quality inspection occurs so that a company can verify that the product is within certainly prescribed tolerances in order for the product to be useful. For example, a company may purchase a paint additive to be used in their manufacturing process, but before it can be used, it has to be inspected to see that the chemical and physical composition of the additive is within the tolerances to be used in the process.

When a purchasing agreement is made with a vendor, it will define the characteristics of the product that are to be inspected and the tolerances that would be allowed. If the item is received and found to have characteristics outside those agreed upon in the purchasing contract, then the company can have the chance to return the item to the vendor.

2. Inspections at the Vendor’s Facility

The quality inspection can also take place at the vendor’s facility. Some companies prefer to perform the inspection before the items are transported to their manufacturing plant. However, the inspections can incorporate more than inspections of the product, but also inspections of the production facility, equipment, documentation, manufacturing processes, and storage facilities.

These quality inspections are important when purchasing agreements are being negotiated. Some vendors may have ISO 9001:2000 Quality Management Standards (QMS) certification which offers customers a greater sense of expected quality and may lessen the requirement of regular inspections.

3. Inspections on Production Line

When a manufacturing company creates finished goods, it cannot afford to wait until the items are coming from the end of the production line before they are inspected. Production issues need to be addressed early in the process in order to correct problems. This can reduce the loss of raw material and reduce the overall time that the production process is shut down. In every type of industry, there is a process where quality inspections can be performed during production. 

For example, in the chemical industry, there should be inspections during the process to test the item at certain stages to ensure that the product is within the manufacturing tolerances. In the manufacturer of consumer products, many inspections are performed so that components are tested as the final product is being assembled to ensure that the finished product will be fault free.

4. Inspections for Finished Goods 

When the finished item comes off the production line it should be inspected to ensure that it conforms to the quality standards of which is to be sold. The final check could include not only the finished goods themselves but the packaging used to ship them to the customer. If the packaging is damaged or incorrectly labeled, then this could require the item to be reworked or scrapped.

5. Inspections in Client’s Warehouse

Finished goods can be sent directly to the client’s warehouse before it is sold. For some items, storage for a period of time can alter the characteristics of the product. For example, some products are susceptible to degradation by heat or cold.

Finished goods that are produced to be within certain chemical tolerances can be affected by environmental conditions so that some characteristics are no longer within the stipulated tolerances. Inspections in the warehouse can ensure that the finished goods are still able to be shipped to customers.

Elksourcing:Why Early QC Involvement Is Important?

Successfully sourcing your products from China implies being careful and diligent about each step of the manufacturing process. QC (Quality Control) is one important step that responsible importers implement at some stages of their production, usually before shipment because it is believed to be the most cost-efficient stage for quality control.

Pre-shipment inspections are best sellers in the 3rd party QC industry; they are performed when production is finished (or almost finished). But without earlier preparation and follow-up with the factory, these inspections might present a few risks that you need to consider:

1. Costly Rework:

Identifying defects late during the production cycle involves higher costs of rework and repair. Unpacking all the finished goods, sorting the defective products, reworking or changing them and repacking them again is costly.

2. Negative impact on Time-to-Market:

If problems are found, repairing them often delays the shipment of your goods, which might affect your time to market.

3. Compromising on Quality:

Because of time or cost pressure, and also because of lack of support from the factories, many buyers end up agreeing for the goods to be shipped even when they don’t meet their initial quality expectations.

4. Damaging your relationship with the supplier:

Creating a healthy and long-term partnership with your supplier is a must to succeed in your products sourcing in China and to consistently get the level of Quality that you want.  Often, issues found during a pre-shipment inspection might lead to arguments and frustrations from both sides (the importer and the supplier).

“No one mentioned this before”, “If you want this quality it will cost more”, “This is unavoidable” are examples of what you can hear from your supplier, because clear requirements and specifications on the products were not agreed before production and proper follow up with your production was not done at early stages.

Elksourcing:7-step Approach to Make Successful Sourcing

Successful sourcing from China is the result of a systematic approach and hard work. Shortcuts may seem smart, but most often, they result in delays or failure. I am always surprised by how often, even large organization, will be tempted by these shortcuts. Per our experience, below 7-step approach is required to succeed in sourcing products from China. 

1. Initial preparation

Many China sourcing initiatives run into trouble because of decisions made or not made at the outset. Unclear targets, unrealistic expectations, lack of resources and many similar aspects, if overlook, will cause project delays and waste of energy.

Successful companies have thoroughly prepared their project. For example, they dedicate initial time in order to:

Define specific ranges of products for sourcing, based on an analysis of volume, labor content, technical complexity and other technical, logistics and commercial aspects.

Spell out clear objectives in terms of cost target, volume ramp-up, sourcing project budget and supplier ideal profile.

Gather updated internal information such as product specification and standards for the product to be sourced.

Get a company executive to actively sponsor the project and set up a multi-function project team or involve different functions of the company.

2. Identification

To get a short-list of suppliers matching the right criteria, a buyer needs to investigate a large number of potential companies. Only a small portion of them will be good enough to be seriously considered for further steps.

There are no reliable “Golden Pages” in China. Online directories are useful but not sufficient. Information provided by many poor suppliers is not a good representation of their actual capabilities.

The right way to build an initial short list will require you to:

Identify a long list of potential suppliers as long as possible.

Contact each of them by phone to collect information directly from their sales representative and evaluate the credibility of this information.

Screen out the ones that fall outside selection criteria or whose credibility is not strong enough.

3. Qualification

This is probably the most important step of the whole process. Out of all the suppliers that offer products similar to what you are looking for, you need to find the right match: technical capabilities, required volume and production capacity, management capabilities, potential for growth and development.

Finding the right supplier requires the most systematic and thorough approach:

Perform on-site qualification visits for each short-listed supplier.

Thoroughly evaluate all aspects of the supplier’s business.

Collect samples or visit reference sites.

Pre-qualify more than one supplier.

4. Price quotation

Although it may seem easy, getting reliable pricing information from Chinese manufacturers require special attention.  For example, many Chinese suppliers are flooded with benchmark pricing request. They will screen which request they need to quote for. In addition, requirements and expectation must be more explicit when communicating with traditional suppliers.

To get the best out of price requests, it is strongly advised to:

Prepare a simple but complete pricing request or RFQ, including all necessary technical elements and standards,

Actively manage the quotation process with frequent clarification and follow-up phone calls. This is the only way to ensure complete quotations on time.

Before spending time analyzing data in details, quickly screen noncompetitive quotations and review the assumptions made by suppliers.

5. Preparation for first PO

Once the supplier is selected and the main terms and conditions are agreed, the next critical step is the first purchase order. This is when all technical and operational misunderstanding need to be cleared.

Such technical and operational discussions are best held face to face. It is important to avoid misunderstanding and to build a personal business relationship with suppliers.

The preparation for the first purchase order is an ideal moment to organize a high efficiency China trip during which you can:

Have face-to-face meetings with the 2 to 3 pre-qualified suppliers.

Take the opportunity for a last technical and operation clarification.

Negotiate pricing and other terms.

Agree on the first order: estimated size, timing, payment mechanism, documentation.

6. Inspection

The only truly safe way to source products from China is to take control of quality control. It does not necessary means having extensive inspections for every order. But it means devising a well-structured quality control system, managed by the buyer or its representatives:

Prepare and execute a thorough Quality management plan.

Make regular visits to suppliers to validate planning and progress.

Verify supplier quality documentation and run sample inspections.

Link payment of the goods to pre-shipment certificate issued by trusted party.

Dispatch engineer on site if there is any doubt of quality or operational problem.

7. Development

When arriving at this step, buyers have one or several suppliers they comfortably work with. It takes time and resources to get to this point.

This is the time to consider whether this supplier cannot provide more bang for the buck:

Get more products in the same family of products.

Benefit from larger savings by increasing the scope of work of your supplier.

Get access to cheap technical resources by asking suppliers to work on product variants.

Enter in a supplier development program in order to further improve the deliveries.

Elksourcing:5 Main Reasons for Quality Issues

For e-commerce sellers, it makes great sense to source directly from China. However, the whole process is complicated, there are many possibilities to cause quality issues. Following are the 5 main reasons I learned from my 20-year experience in sourcing business.

1. Miscommunication

Miscommunication is the most important reason for most quality issues.

Do not believe that your supplier understands your specifications and your expectations clearly after they’ve been told once.

Usually, you are most likely communicating with someone who doesn’t speak English as their first language.

Also, you’re most likely talking to the salesperson, who in turn has to communicate requirements to engineers and production staff. And it’s not uncommon for things to get lost in translation or for requirements to not be clearly communicated to the assembly line.

2. Unclear instructions from the buyer

Many e-commerce sellers assume suppliers will know their requirements. They are not particular about their specifications.

For example, if they’re ordering a yellow T-shirt, they might not specify the exact shade of yellow they want.

Similarly, the buyer might not have indicated the specific type of finishing they want on a product, or where and how the labels should be attached and in such a situation, the supplier is likely to use the option that costs them the least.

It is also possible that the sales representative is not familiar with the product, and might not understand the product details and technical requirements.

3. Cultural differences

It is common for Chinese suppliers to tell buyers what they think you want to hear, even if it’s not the truth just so that they can make a sale.

Also, suppliers may be hesitant to ask questions and admit they don’t understand requirements as “saving face” is an important element in their culture and they do not want to seem incompetent.

4. Buyers pushing for lower price

When e-commerce sellers pressure suppliers on price, they may try to cut corners, which could impact product quality.

For example, the supplier might reduce the thickness of the metal on a spatula, which might impact performance. Or for products made of wood, they might not treat the wood properly which could result in the wood warping over time.

5. Skipping product inspections

Spending several hundred dollars on an inspection can save importers a lot of trouble later on because once the shipment arrives in the importing country, if there are major issues with the product, there’s not much you can do at that point to rectify the issue.

Elksourcing:How to Import Goods from China for Selling on Amazon?

Now Amazon is one of the world’s largest shopping online platform, so there will be more and more sellers join to Amazon. With the development of science and technology, people like to shop online. Sometimes it is difficult to understand how to import goods from China and sell on Amazon. Here is a step by step guide to help you:

Step 1 – Find the best seller for the product

It is very important to verify that you’re sourcing products from a known and reputed manufacturer, and a good way to find this out is by evaluating online supplier reviews. It is also important for you to find out before making any investment that the product you are importing from China is allowed into the country you are trying to import. Before initiating any step, you should find out if the product you are importing needs any special permit or is banned. Once, the seller has been decided we move to the next step.

Step 2 – Order from China Factories

You can directly from Chinese factory orders after choose a good product and quantity.  you need a China purchasing agent for your goods inspection, to ensure the quality of the product After the completion of the production.

Step 3 – Shipping of the product to your country

You may want to compare the prices of air freight versus ocean freight and speedy versus slow service. You need to calculate the benefit of spending this cost, keeping in mind that import may take a little longer than expected due to delays at custom and other government agencies.

Speed and volume are two main factors when choosing the mode of transport. Courier shipment is the most economical and fastest but they have size restrictions. In case of bigger sizes, you will have to book an air freight or ocean freight. On the basis of the weight, worth and size of the goods to be imported, you should take a call.

Now, it is time to choose between air freight and ocean freight. Air freight is more expensive as it’s a much faster transit. In the case of ocean freight, you can choose how much container space you would need. In case the volume of your good is less, then you will be able to share the container which would make the transit cheaper for you but at the same time the risk would increase.

Step 4 – Custom

After your logistics are finalized, it is time to get ready for custom work and paperwork. As an importer, you are fully responsible for any problems related to the clearance of goods. You should make sure that all the cartons which are coming should have Carton count, gross and net weight, country of origin printed on top.

Step 5 – The last step is to get the goods delivered to the warehouse

After passing through customs and completing the above steps, you will need to sign up and send the goods to the Amazon warehouse. From here, they will be listed on the online marketplace and made available to customers across the globe. A set of registration documents will have to be submitted when signing up with Amazon and sharing the goods in their warehouse.

Elksourcing:5 Factors to Determine if a Supplier is Right

Whether you decide to try a sourcing agent, continue sourcing on your own, or to use an online sourcing platform, you should still understand how to properly determine if a supplier is the right match for your ecommerce store.  

Here are 5 factors you should consider when determining if a supplier is right.

1. Margin 

It seems obvious that the price per unit needs to be low enough that you have room to take a healthy profit. However, there are many factors beyond price per unit to consider when determining the actual price of your products:

Get a shipping quote: Distance, country of origin, and available shipping methods all have a major impact on the overall shipping price. Before committing to production, make sure you get quotes from your own freight forwarding partner or their internal shipping managers.

Calculate customs duties: When importing goods, you may be subject to additional fees depending on the country of origin and type of product you’re importing. Of course, these fees can be passed on to your customers, but if you’re operating in a price-sensitive industry it could make you uncompetitive. Always make sure you’re calculating customs duties accurately or it could eat your profits.

2. Reliability

“Time is money,” as the old adage goes, and if you’re working with a factory that’s often behind schedule it could lead to major financial losses on your end. To protect yourself from dealing with a completely unreliable supplier .

Ask for their business license: Requesting a copy of a factory’s business license is completely normal. Not only will it show that they’re a legally operating factory, but it will also tell you the exact scope of their production capabilities. If a factory is hesitant to give you a copy of their license, it’s probably a sign to move on.

Ask for a list of companies they have worked with: It’s not uncommon to ask factories if they’ve worked with companies similar in size to yours. If they were able to produce successfully for those other companies, it’s a good sign that your production run will go smoothly as well.

3. Product Offerings

Factories are typically limited to a specific scope of products they can produce. If you’re looking to manufacture jewelry, but the supplier you’re working with specializes in apparel, it’s probably not going to work out. Unfortunately, some factories may try to dupe you when it comes to their business scope, but how do you make sure the factory isn’t lying?

Arrange a factory audit: Hire a reliable QC company to do an onsite comprehensive audit will be important before you invest lots of money, make sure the factory is actually making the similar products when the QC is there, it’s far from enough if the factory only shows the similar products in their showrooms, the samples could be provided by other people or purchased from somewhere.

4. Minimum Order Quantity (MOQ)

Ask about the MOQ: Just ask them if they can work with your order size. Save yourself some headache and make sure you ask them as soon as possible. You wouldn’t want to order a sample and request a factory audit if they aren’t capable of working with your order size.

5. Communication and Support

Communication is the key to a successful production run. No matter how detailed your product specifications, mockups and other design materials are, there is always room for interpretation and it may not be what you had in mind. Communicating with a supplier can be difficult, especially if they’re located overseas, but there are a couple of ways you can test it.