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Case Study: Establishing a Supply Chain in China



“DTS was instrumental in helping us reduce our costs while at the same time, improve both product quality and reliability of supply. We placed our trust in DTS and they delivered an excellent solution.”

          Dayn McBee – CEO
          SunTech Medical, Inc.

Business Challenge

A U.S. medical device customer was searching for ways to reduce its product cost while maintaining tight control of the quality of its product which had to meet FDA standards in the U.S. market. The customer had previously outsourced the production of their product to U.S. manufacturers and had limited knowledge of sourcing product assembly in China. Identifying high quality and reliable subcontractors in China presented the customer with a challenge.

The Solution

The medical device company decided to place its trust with DTS, who took the product design and established a dedicated engineering and production team to put together a complete product manufacturing process. The DTS team obtained the appropriate medical device manufacturing certifications from local government agencies, identified reliable local suppliers and raw materials for the product and instituted production assembly systems and processes that resulted in a steady supply of quality product at a significant cost savings to the medical device company.

In addition to just building product for the medical device company, DTS hired an engineer to help source materials and capital equipment in China. DTS recruited the engineer and provided office space and local support. This engineer provided saving several times his cost over a two year period.