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Top Six Challenges That Contract Manufacturing Can Solve

Posted by Brad Roberson in CNC Machining and Contract Manufacturing on Sep 17, 2020.


Companies of all types and sizes face many different challenges every day—each challenge as unique as their own business. As the world of manufacturing continues to grow more complex with tight production deadlines becoming harder and harder to meet, many companies are exploring the competitive advantages of outsourcing certain processes. Contract manufacturing is a viable option that involves hiring a third party to perform functions that companies may not have the time, space, equipment, or expertise to handle in-house.

As a top contract manufacturer in the industry, Roberson Machine Company has worked with many businesses for over 20 years and have seen the many different issues they face. Here are top six most common challenges we see and how we may be able to help:

1. High Operating Costs

During the manufacturing process, there are many areas in which you need to invest significant capital, such as expensive manufacturing equipment and skilled labor. This can often add up to a point in which operating costs become too much for especially small to mid-sized businesses to handle.

How contract manufacturing solves this:

With our built-up reputation over the years, we are fortunate to have a growing number of partners which means we have lower costs per head in the manufacturing of a product or service. Furthermore, we can purchase materials in bulk quantities often from the same supplier. All of these elements combine to give us the ability to perform jobs at a lower price, which means we can pass the cost savings onto you.

2. Shifting Demands

Market demands are constantly shifting and fluctuating causing efficient operation to become challenging. A sudden spike in business is a good thing — unless you don’t have the production capacity to meet the increased demand. And what happens when demand decreases? You are left with overhead.

When manufacturers have constantly fluctuating market demands, scaling up and down in-house can get expensive.

How contract manufacturing solves this:

Outsourcing makes these changes in demand easier to manage, meaning you would no longer have to spend money and resources investing in your own facility to keep up — let us handle it! When the demand for a specific product is high, we can provide additional production capacity to satisfy the increase in the shortest amount of time; and when it falls again, our facility is flexible enough to scale with you. We will work with you every step of the way to adjust and meet the market.

3. Keeping Up With Advancing Technology

The costs of even the most common manufacturing machines are high and can quickly become outdated. Once they go out of date, you do not have the resources to continue buying the latest models, which means you have restricted capabilities that bar you from continuously improving your product.

How contract manufacturing solves this:

We invest heavily in the most advanced technologies on your behalf; therefore, you will always have access to the latest in precision CNC machining to make your product the best it can be. Contract manufacturing using our advanced equipment opens up a world of possibilities to create. Parts can be made in a wider variety of materials, shapes, and sizes than ever before using state-of-the-art computerized programming.

4. Lack of Time and Space

You’re busy. We get it. You do not have time to check the quality of each piece produced. Plus, machines for even just a little part can take up space that can be used for something else.

It is vitally important to use the maximum amount of time and space on the things that truly matter to your business objectives and core competencies.

How contract manufacturing solves this:

Let us handle everything for you! We’ve already invested in the right machinery, software, labor force, and facility space so that you can leave the manufacturing to us while you continue to manage and grow your business.

Plus, our stringent quality control process means that you don’t have to worry about the final product. Our value added services include testing all products to ensure that it is made to your desired specifications and conforms to strict quality control requirements.

5. Production Range is Too Narrow

If your company specializes in one or more types of parts, but you need components for other areas, you may be restricted in your options. You sometimes have to go through many different channels just to make one product, which can get messy.

How contract manufacturing solves this:

When your production range is narrow and therefore your supply chain becomes overly complex, contract manufacturing helps simplify your processes. Our one-stop shop can help with complex part design, prototyping, manufacturing, inspection, and everything in between. Through our partnership, you can free up resources in order to focus on your specialty while we deal with the “extras.” Let us help make the process flow as smoothly as possible.

6. Labor Issues

There can be a number of labor issues faced in the manufacturing world, for example, a lack of skilled labor. When you have an unskilled workforce, there are many human errors that result in associated costs. There is also significant time and resources to train employees, especially when it comes to new technology.

How contract manufacturing solves this:

With contract manufacturing, you can now cut down on internal labor costs because we absorb these costs for you with our experienced staff of machinists, technicians, welders, programmers, and production personnel. We have ample experience in the latest technologies which includes computer programming that cuts down on human error; that way, products are made to the strictest specifications.


Contract Manufacturer in Missouri | Roberson Machine Company

Roberson Machine Company has been a contract manufacturer and industry leader for more than two decades. We have delivered fast, turnkey machined parts that help overcome a variety of challenges for many different industries.

Call our team at 573-646-3996 or request a quote by filling out this form today.

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Brad Roberson / 

Brad Roberson is one of the owners of Roberson Machine Company. Please feel free to contact us to receive a quote or ask any questions you may have.



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