• Do beta testing when feasible, before making long-
term decisions. Allow time for testing how a foreign
manufacturer and other supply chain partners will
perform.
• Ensure contracts have escape clauses and performance
guidelines.
• When feasible, have all of the supply chain partners
invest in the supply chain with capital expenditures,
particularly the manufacturer, to ensure a more secure
and longer term commitment.
Sourcing from China
China is one of the fastest growing areas in third party
manufacturing for U.S. companies. Since 2000, China has
moved from fifth to second place in America’s top trading
partners. China has offered inexpensive labor and a desire
to take on every challenge. It has steadily increased its skill
sets and capabilities to produce ...