New product development usually means using new components from new suppliers. But, how do you qualify that the suppliers (and their components) are the best possible options for your project? In this presentation we will explore: - Why qualifying suppliers will lead to obtaining better components - The serious need to use components from qualified suppliers in late-stage prototypes - What is it most important to check, with auditors or quality inspectors, at your new supplier's facility? - How to detect major risks quickly? Learn more about prototyping in this article: https://www.sofeast.com/glossary/prototyping-process-to-test-refine-a-new-product-design/ Need help with creating your prototype? We can assist you: https://www.sofeast.com/product-engineering/prototype-development/

1. How To Qualify Component
Suppliers At The Design &
Prototyping Stage

2. At our contract manufacturing subsidiary, Agilian Technology, we mostly work on
totally new products. It is a rare project that doesn’t force us to use new
components from new suppliers.
The selection and qualification of a new component supplier is not a light
decision. Here’s how we qualify component suppliers.

3. Why making prototypes with parts from
qualified suppliers prevents issues later on
 Many manufacturers, when they make prototypes, are solely aiming at getting
approval from their customer and getting a 30% down payment for the first
production batch. It means they will buy parts on Taobao or in local markets
(e.g. Huaqiangbei in Shenzhen) in order to obtain them quickly.
 This may be the best course of action to put together a ‘proof of
concept’ prototype when getting new information fast is the most important.
 However, we avoid it as much as possible for later-stage prototypes, which
need to incorporate parts from qualified suppliers.

4. Why later stage prototypes need to use
components from qualified suppliers
 A supplier that can deliver 5 pieces quickly on Taobao is far from guaranteed
to deliver 10,000 of the exact same pieces, on time, with a >99% quality
level, and without last-minute renegotiation of prices/terms.
 Those types of issues are the last thing anybody wants in mass production. It
can trigger long delays and serious cost overruns.
 So, how to qualify component suppliers that are not already in the AVL
(Approved Vendor List)?

5. Objective facts: what is most important
to check?
Sending an auditor, or a supplier quality engineer, to visit the new supplier’s
facility(ies) is often necessary if the part in question has a direct impact on the
final product quality & reliability.
Here are the few topics that are most important to assess:
 Do they have the technical understanding needed to keep their processes
under control and, if needed, to customize their product?
 Do they have a basic quality management system in place, including the right
inspection & testing points where they make sense?
 If the application of their part is new to them (e.g. for a class 1 medical
device), do they understand the implications on their operations?

6. Subjective judgement: can we rely on this
supplier?
This is the work of the person doing the sourcing (in our company, the project
manager) and/or the purchaser who will have to work with that supplier.
This is more of a subjective assessment, based on person-to-person
conversations.
If the owner seems involved closely in the day-to-day operations and has a
technical background, if he seems serious (not promising anything over-the-top
of making insane claims), and if he is interested in the business, these are good
points.
Confirming the salesperson handling our account has sufficient experience and
communicates well is also a plus.

7. How to detect major risks quickly?
The best approach is generally to send someone to the supplier’s factory and
observe their processes. Do it when they are running a pilot, especially if they
need to make custom parts for the project (and confirm the real yield, since it
impacts the price directly). And do it during the first mass production, if that is
economically justified.
All this is extra work to qualify component suppliers should take place at an early
stage when the product design is still in iterative improvements. It will later
make a lot of sense once the design is relatively mature and the project has a
good chance of moving forward.

8. How To Qualify Component
Suppliers At The Design &
Prototyping Stage