Subcontracting - what does it really mean?
Subcontracting, also known as contract manufacturing or subcontracted manufacturing, is an efficient production method by which a company hires an external party to manufacture components or entire products according to specific requirements and specifications.
This modern manufacturing method has become increasingly important in today's industrial processes, as it allows companies to spend more time focusing on their business - while benefiting from specialised expertise and cost-effective production.
The benefits of subcontracting: a smart route to efficient production
Reduced production costs
By outsourcing production to a subcontractor, companies avoid having to invest in expensive machinery, premises and staff. This leads to significant cost savings and allows the company to focus its time and energy elsewhere. It also eliminates the need to manage warehousing and logistics, further simplifying processes.
Access to expertise and modern technology
Subcontractors often have long experience and deep knowledge in specific areas of production. They have access to state-of-the-art equipment and can offer innovative solutions that might be difficult to achieve on your own. This means that products are manufactured with high precision and quality, while having access to the latest technology in the industry.
Flexibility and scalability in production
Markets are constantly changing and customer demands are increasing, but subcontracting allows companies to quickly adapt their production to new conditions. It is easy to scale up or down production according to demand and quickly develop new products and prototypes, which is a major advantage in a competitive market.
This is the process
1. Contact and needs analysis
The process starts with you contacting a subcontractor and sharing detailed requirements, drawings and specifications. It is important that you are as clear as possible to ensure that your needs are properly understood.
The manufacturer then evaluates your request and analyses your technical requirements. This step is essential to establish whether the manufacturer can meet your needs, and to identify any questions or ambiguities that may need to be discussed.
2. Material selection and design customization
In the next step, the subcontractor selects materials and production methods based on your specifications. At this stage, it is important that they propose materials that fit the project requirements in terms of functionality and budget.
Production techniques can vary depending on the product and can include methods such as laser cutting, waterjet cutting, CNC machining and robotic welding. Often the contract manufacturer will explain which methods are most suitable for the project in question.
3. Control and quality assurance
To ensure that the products fulfil your specific requirements, the contract manufacturer carries out regular quality checks. They also use various measuring instruments and control systems to document the quality work. This allows any non-conformities to be identified early on, so that the manufacturer can make quick adjustments if necessary.
Common industries that use subcontracting
Lego manufacturing has become an increasingly popular solution for companies in a variety of industries. Some of the most common uses are:
- Metal and sheet metal working
- Plastics and composites industries
- Electronics and precision engineering
In metal and sheet metal working, subcontracting is used to create precision components in different metals - often for vehicles, machinery and buildings. It is also used to produce both packaging and household items, as well as series or prototypes of everything from electronic components to mechanical parts and many more.
How to choose the right subcontractor
When selecting a contract manufacturer, it is important to scrutinise their quality assurance, industry experience and technical expertise. Make sure they have relevant certifications and meet the quality standards required in your specific field. It can also be helpful to ask for examples of previous projects similar to yours - this way you can get a clearer picture of the company's capabilities and experience.
Risks and challenges in the sector
- Communication gaps: Clear communication is crucial to avoid misunderstandings and ensure that the final product meets expectations.
- Delivery delays: Sometimes delays can occur due to various factors. It is important to have a clear timetable and regular follow-up.
- Risks of low quality: Choosing an inexperienced or inappropriate subcontractor can lead to quality problems that negatively affect the final product.
Shaping the future of lego manufacturing
Smart factories and digital workflows
In the future of subcontracting, digitalisation and automation will become increasingly fundamental. The use of advanced control and monitoring systems will become more common to optimise production processes and enable even higher levels of precision and quality. The focus will be on freeing up time for other things and reducing the risk of human error - which automation makes possible.
When sustainability becomes the norm
Sustainability is also becoming an increasingly important factor in contract manufacturing. As companies will look for suppliers that can offer sustainable and environmentally friendly solutions, contract manufacturers will need to actively work to reduce their environmental footprint. The aim will be to use more recycled materials, optimise energy use and reduce waste.
The key to future competitiveness
In an increasingly competitive market, flexibility will make the difference in the long run. It is becoming increasingly common for customers to demand customised solutions, while seeking shorter delivery times. Therefore, contract manufacturers need to be prepared to adapt quickly to changing market conditions and customer needs, which can be achieved with modular production lines and flexible production systems.
Lego manufacturing in Sweden - a competitive market
Sweden's contract manufacturing industry is well equipped for the future. We have a strong tradition in industrial manufacturing, which has given rise to a deep understanding of the varying demands and needs that customers often have. With a strong ability to adapt to new technologies and market demands, Swedish companies maintain a strong position in the global market, often choosing to niche down to smaller batches in order to offer manufacturing of customised, tailor-made products.
Contact us
Stans & Press offers a wide range of subcontracting services, mainly in sheet metal processing, but also for processing other metals as well as plastics and rubber. Contact us today - we have the experience and expertise to meet your specific needs.