A Guide to Outsourcing Kitting and Assembly

This article features Packaging Equipment and Automaton Manager Troy Shellenbarger.

Outsourcing kitting and assembly services can be a great way for companies to improve efficiency and reduce costs. It's important to approach the process of outsourcing with care by first identifying your needs and goals. Finding the right contract packaging partner that offers kitting and assembly services can ensure your outsourcing arrangement is successful and provides long-term value.

What Are Kitting and Assembly Services?

Kitting and assembly services are two related fulfillment services that involve assembling packages or gathering all the necessary products or components together into a kit or display.

“These services can involve a variety of things, from putting automotive parts in bags to setting up a retail point of purchase display,” says New-Tech Packaging Equipment and Automaton Manager Troy Shellenbarger.

In fact, outsourcing kitting and assembly services is a growing need for many industries due to today’s labor challenges and demands for faster production and product delivery. These contract services are being used by manufacturers of automotive parts, sporting goods, cosmetics, pharmaceuticals, medical devices, and more, for a variety of products, from those mass-produced to more complex assemblies.

Kitting and assembling services may include:

• Repackaging
• Assembling Multi-Packs
• Assembling Gift Packs
• Cold Chain Kitting (Building EPS panels for coolers inside boxes)
• Shrink Wrapping
• Sealing Bags
• Relabeling
• Product Bundling
• Setting up Point of Purchase Displays
• And lots more!

The Benefits of Outsourcing Kitting and Assembly

First and foremost, outsourcing kitting and assembly is one way to increase efficiency. A company specializing in kitting and assembly, such as New-Tech Packaging, will already have the people, processes, and space to move products out the door fast.

“We had a company come to us with an order for 450,000 latex gloves that needed to be repackaged quickly. They didn’t have the capabilities to do it, but since we already had the processes, equipment, and people in place, we could deliver and meet the tight deadline,” Shellenbarger says.

Additional benefits to contracting out these services include:

• Saving space in assembly and packaging areas
• Reducing in-house labor needed for these jobs
• Gaining volume flexibility for fluctuations in product demand
• Reducing overhead needed to set up new processes, lines, and teams 
• Improving quality with a skilled staff handling kitting and assembly operations

Steps to Outsourcing Kitting and Assembly

Here are three key steps to guide you through outsourcing kitting and assembly services:

1. Identify your specific needs and goals. This might include streamlining your supply chain, reducing costs, or improving quality. Once you clearly understand your needs and goals, you can start looking for a contract packaging partner who can help you achieve them.
2. Research potential partners and evaluate their capabilities. Look for a company with a proven track record of success and experience working in your industry and with businesses of your size and scope. Ask key questions about their capacity, equipment, labor force, and quality control systems. 
3. Monitor performance. Choose a partner that openly communicates on deadlines, quality, and delivery. The key to success is trusting your outsourcing partner to deliver the quality your brand is known for.

Why Choose New-Tech as Your Kitting and Assembly Partner?

At New-Tech Packaging, we are FDA-registered and ISO 9001 certified. Because we service the pharmaceutical and medical industry, we have stringent quality control processes and record-keeping for all our kitting and assembly customers, regardless of industry. We also have:

• Two facilities in Memphis, Tenn., with multiple kitting and assembly lines,
• Warehousing facilities,
• Temperature controlled facilities,
• And a superior customer service team.

“When it comes to kitting and assembly, there’s not much we can’t do,” Shellenbarger says.

Get a quote started today for your kitting and assembly needs.