Too many cooks in the kitchen can spoil the broth. While the goal of global sourcing and outsourced manufacturing is to reduce manufacturing costs, the increased complexity that comes with leveraging internal and external manufacturers introduces significant challenges. Among these are the challenges to managing visibility and control, which can negate financial benefits. For example, when quality issues arise, the disconnected and disparate nature of third-party manufacturing makes them difficult to detect.
At the same time, early detection is critical, particularly in regulated industries such as pharmaceuticals or food and beverage, to avoid the accumulation of additional costs and production time spent on additional units that share the defect. The ability of a brand owner to quickly determine the root cause at any stage of production, track all affected products, and conduct a recall efficiently is critical. The earlier an issue is identified, the...