Hiring a Wire Harness Contractor in Mexico: Advantages

Many people looking to streamline their businesses and reduce much of their operational costs quickly turn to outsourcing to achieve their goals. Particularly outsourcing that involves taking advantage of currency exchange to further reduce costs.

Mexico offers a particularly effective option for near shore outsourcing to businesses in the U.S. However, if this is your first time outsourcing south of the border, or your first time outsourcing at all, this can be more than a little overwhelming, particularly given the recent media attention drug violence in the area. There are some distinct advantages to hiring a wire harness manufacturer with operations in Mexico.

One of the most prominent and constantly cited advantages of working with a provider with operations in Mexico is the lower cost structure. Mexico is perfectly suited to support production of goods that have a large degree of engineering, specifically for short- and medium-run products. Due to its proximity to the U.S., this type of arrangement enables technical and production managers from both sides of the border to coordinate activities and communicate effectively to overcome obstacles posed by geography or language.

Also due to its nearness to the market it serves, Mexico can fulfill just-in-time inventory orders to ensure there are no bottlenecks in production. Compared to Asian manufacturers, Mexico offers a much lower cost of freight shipping. Also compared to other low-cost countries, Mexico has relatively little political risk, and has better enforcement of patent and intellectual property regulations than most.

Types of Arrangements

Often the best option is to find a supplier that has client-facing sales and service operations in your home country, and manufacturing in the low-cost nation. This allows you to take advantage of the cost reductions available through outsourcing, but gives you the expertise and ability to manage risk that only this type of company can provide.