Supply Chain Management: Sourcing and Contract Manufacturing

India and China have traditionally offered Western companies a limitless number of suppliers for all kinds of consumer and industrial products, and while conditions there have changed, several Southeast Asian nations have more recently offered contract manufacturing services more cost-effectively.

India and China have traditionally offered Western companies a limitless number of suppliers for all kinds of consumer and industrial products, and while conditions there have changed, several Southeast Asian nations have more recently offered contract manufacturing services more cost-effectively.

As companies adopt China+1 and other supply chain strategies to improve resilience and manage risk, sourcing and contract-manufacturing decisions in Asia have become increasingly complex. These services support organisations in identifying and qualifying manufacturing partners beyond single-country dependency, applying a structured approach aligned with product requirements, volume expectations, and operational constraints. The focus is on building reliable sourcing options that complement existing supply chains while enabling scalable, production-ready alternatives within selected Asian markets.

Supply Chain Management Process: Our 3-E’s

Evaluate

From Market Potential to Supply Side Feasibility

Success in Asia requires careful preparation. While market opportunity is essential, manufacturing and supply conditions ultimately determine whether an opportunity can be realised in practice. Cost structures, supplier maturity, operational risk, and compliance readiness vary widely across Asian markets and must be understood before decisions are made. The Evaluate stage focuses on determining where production can be executed competitively, reliably, and at scale, providing a supply-side foundation for market entry decisions.

Our Service Modules

This service is designed for companies that require a clear, comparative understanding of manufacturing options across Asia before committing to a production location.

The assessment focuses on:

  • Comparing manufacturing ecosystems across key Asian countries
  • Analysing cost structures and price competitiveness at market level
  • Evaluating capacity availability and scalability
  • Assessing lead times, minimum order quantities, and execution risk
  • Reviewing ESG and compliance readiness at supply-market level

 

The outcome is a fact-based recommendation on which sourcing and production markets best support the company’s product, volume, and growth objectives.

  • Differences between the choices (Generic)
  • Location
  • Cost structure
    • Capex/opex, 5Y/10Y/20Y
    • Land cost
    • Building costs
    • Company+staff costs (est. future)
    • Monthly costs
    • Setup time
    • Stakeholders
      • Pppc
      • Lawyers
      • Accounting
      • HR
  • Logistics
  • Routes
  • Partners
    • Industrial parks/zones
    • Industrial pools
    • Availability
      • Big Industrial zones
      • Remote areas with incentives

Enter

From Strategy to Factory Level Execution

Once market entry strategy and commercial direction are defined, success depends on the ability to translate plans into working production relationships. Supplier selection, factory validation, and early production execution are critical at this stage. The Enter phase focuses on validating manufacturing partners and production processes before scale.

Our Service Modules

This service supports companies in identifying and qualifying manufacturing partners that align with technical requirements, quality expectations, and production volumes. The process focuses on:

  • Structuring the supplier landscape through longlisting and shortlisting
  • Assessing factories based on technical capability, quality systems, and capacity
  • Coordinating sampling and pilot production to confirm suitability

This service provides a practical, execution-focused assessment of factory readiness, supporting informed supplier selection beyond desktop evaluations.

The assessment focuses on:

  • Manufacturing processes and production technologies
  • Quality management systems at operational level
  • Capacity reliability and workforce stability
  • Production planning discipline and lead-time consistency
  • Compliance readiness aligned with buyer standards and operational practices

This service supports controlled execution during early production phases, where operational risk is highest.

The process focuses on:

  • Managing trial orders and pilot runs
  • Validating production processes and quality benchmarks
  • Aligning operating procedures between buyer and factory
  • Identifying and mitigating first-order production risks

This service supports companies considering dedicated production capacity or own-factory operations.

The assessment focuses on:

  • Selecting sites based on labour availability, logistics access, and infrastructure
  • Evaluating industrial zones and factory buildings
  • Assessing utility readiness, including power, water, waste, and compliance requirements
  • Supporting layout planning and initial production readiness
  • Coordinating with local contractors and service providers

Expand

From Initial Success to Scalable Operations

As manufacturing volumes increase, maintaining performance requires disciplined operational management and ongoing oversight. The Expand stage focuses on supporting stable, scalable manufacturing operations over the long term.

Our Service Modules

This service supports companies as production volumes and supplier networks grow. The focus is on:

  • Coordinating ongoing production activities
  • Managing multiple suppliers effectively
  • Supporting cost optimisation and capacity scaling initiatives

This service supports consistency and reliability as production scales.
The focus is on:

  • In-line and pre-shipment quality inspections
  • Corrective and Preventive Action (CAPA) implementation and follow-up
  • Ongoing performance monitoring to support quality improvement and operational efficiency

This service supports companies that require an on-the-ground operational presence without immediate legal entity establishment.
The focus is on:

  • Providing Employee of Record arrangements
  • Hosting sourcing, quality, or operations personnel
  • Supporting day-to-day execution during market establishment

This service supports companies seeking a simplified manufacturing execution model under a single operating framework.
The focus is on:

  • End-to-end coordination of sourcing, production, quality control, and logistics
  • Managing execution across multiple suppliers
  • Providing clear accountability for manufacturing operations

Asian Insiders offers four core services – Market Entry, Supply Chain Management, Operative Services, as well as a range of supplementary services that vary by target market.

Are You Ready?

Is your company considering expanding into Asian markets?

Talk to Us

Perhaps we can help you – so connect with us here. We’re ready to engage you – let us know how to help you improve your impact in Asia.