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Rasel Sordar
Jun 07, 2022
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In addition to obvious direct costs - such as Latest Mailing Database additional meetings, travel, and engineering time - hidden factories also indirectly produce many forms of "soft" costs, such as loss of good will, loss of competitiveness Latest Mailing Database, extended warranty costs, and legal costs. When it comes to outsourcing, there's more to consider than the quoted price. Some outsourcing costs are less visible - or downright hidden. Here are the top hidden costs of outsourcing offshore: · Currency Fluctuations - last year's invoice of Latest Mailing Database today. · Lack of Managing an Offshore Contract - underestimating the people, process, and technology required to manage an outsourcing contract. Design changes - language Latest Mailing Database barriers make it difficult to get design changes understood and implemented · Quality problems - substitution of lower Latest Mailing Database grade or different materials than specified is a common problem · Legal Latest Mailing Database liabilities - offshore vendors refuse to participate in product warranties or guarantees Latest Mailing Database · Travel Expenses - one or more visits to an offshore vendor can dissipate cost savings · Cost of Transition - overlooking the time and effort required to do things in a new way Latest Mailing Database. It takes from three months to a year to complete the transition to an offshore vendor. Poor Communication - communication is extremely complex and burdensome. · Intellectual Property - foreign companies, particularly Latest Mailing Database Chinese, are notorious for infringing on IP rights without legal recourse for American companies In the past, my experience was that once manufacturing moved out of the United States, it rarely came back. However Latest Mailing Database in the past two years, we have seeing more companies coming back from doing business in China. The main problems these companies encountered were: · Substitution of materials · Inconsistent quality.
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Rasel Sordar

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