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Optimizing Quality Assurance in Contract Manufacturing with Integrated PLM & QMS Software
Blog | January 15th, 2025

Optimizing Quality Assurance in Contract Manufacturing with Integrated PLM & QMS Software

In today’s global and “connected” manufacturing landscape, contract manufacturers play a pivotal role in delivering high-quality products on time and within budget. In sectors like pharma, biotech, and medical devices, manufacturing partners have become a core part of the product development lifecycle.

But considering that product design, development and engineering is done by one entity and manufacturing is contracted outside – ensuring consistent quality across complex supply chains and multiple stakeholders remains a challenge.

This is where Product Lifecycle Management (PLM) software – with integrated Product Quality capabilities – becomes a game-changer, enabling enterprises to streamline processes, enhance collaboration, and ensure quality assurance (QA) at every stage of the product lifecycle.

If you run an enterprise that outsources manufacturing to a contractor, it is critical that you use a next-generation PLM + QMS solution to streamline the end-to-end product lifecycle with a quality-first approach.

The Challenges of Quality Assurance in Contract Manufacturing

Contract manufacturers face unique challenges when it comes to QA:

  • Complex Supply Chains: With multiple suppliers, subcontractors, and stakeholders, maintaining transparency and consistency is daunting.
  • Regulatory Compliance: Different regions have varying regulations, and staying compliant while delivering on time adds to the pressure.
  • Data Silos: Disparate systems across organizations lead to a lack of unified data, making it difficult to track and resolve quality issues effectively.
  • Rapid Changes: Design iterations, material substitutions, and evolving customer requirements necessitate agility, often leading to quality lapses. Management of Change (MoC) is a key challenge in product development, and it's so much more when manufacturing is contracted out.
  • Collaboration Gaps: Lack of seamless communication between OEMs (Original Equipment Manufacturers) and contract manufacturers increases the risk of errors and delays.

How Modern PLM Software Transforms Quality Assurance

PLM software, with integrated design controls and QMS capabilities, provides a centralized platform to manage all aspects of a product’s lifecycle, from design to production and beyond.

In fact, without integrated quality management systems, it will become a nightmare to meet overall quality and regulatory requirements.

Here’s how a modern PLM solution with in-built quality management systems optimizes QA in contract manufacturing:

1. Integrated Quality Processes

PLM software integrates quality management processes into the product development workflow. From design controls to corrective and preventive actions (CAPA), all QA processes are centralized, ensuring consistency and traceability.

  • Example 1: If the contract manufacturer requests for a change of part, this change is evaluated not only from an engineering perspective but also from a quality and supplier perspective.
  • Example 2: Automatically link CAPA records to design changes requested by the contract manufacturer, enabling faster issue resolution and preventing recurrence.

2. Enhanced Collaboration

By providing a single source of truth, PLM + QMS software ensures that all stakeholders—from OEMs to suppliers—are aligned in terms of product, supplier and quality metrics. This reduces miscommunication and fosters better collaboration.

  • Example: OEMs and contract manufacturers can co-develop designs and resolve potential quality issues in real time.

3. Real-Time Data Visibility

With the right PLM solution, manufacturers gain real-time visibility into quality metrics, production data, and supplier performance. This allows proactive identification of risks and swift corrective actions.

  • Example: Identify trends in supplier non-conformance data and address issues proactively before they impact production. Real-time non-conformance data flow between the contract manufacturer and the OEM is seamless when both parties use the same system.

4. Regulatory Compliance Made Easy

PLM software streamlines compliance by providing built-in templates, automated documentation, and traceability features. It ensures adherence to standards like ISO 9001, FDA 21 CFR Part 11, and others.

  • Example: Contract manufacturers can generate/upload audit reports at the click of a button, saving time and reducing compliance risks. This report is immediately available for the OEM to review and approve. If an additional audit is needed, it can be scheduled within the system. The quality team at the OEM can also see who has managed the audit, having visibility into whether a certified party conducted the audit.

5. Design for Quality

A robust PLM system integrates design quality into the initial stages of product development. By simulating and testing designs early, manufacturers can eliminate potential quality issues before they arise.

  • Example: Conduct virtual simulations to validate designs, reducing the risk of defects in production. Design controls, Requirements Traceability, and Product Risk documentation is available for both OEM and contract manufacturers to track and update in real-time.

Key Features of ComplianceQuest’s PLM Solution

ComplianceQuest’s PLM solution, built on the Salesforce platform, offers unique capabilities tailored for contract manufacturers:

  • Unified Platform: Seamlessly integrates PLM, QMS, and supplier management for end-to-end visibility.
  • AI-Powered Insights: Leverages AI to predict quality risks and suggest corrective actions.
  • Scalable and Configurable: Adapts to the specific needs of both OEMs and contract manufacturers.
  • Cloud-Based Flexibility: Enables remote collaboration and real-time updates across global teams.

With CQ's PLM Software, product and quality leaders can take control of the end-to-end product lifecycle from vision to production with data, metrics, and documents at the core. It ensures all teams and stakeholders are truly connected towards a single set of goals.  Find out more here: https://www.compliancequest.com/product-lifecycle-management-plm/

Benefits of Implementing Modern PLM Software like CQ ProductQuest in Contract Manufacturing

  • Improved Product Quality: Proactively identify and resolve quality issues, reducing defects and recalls.
  • Faster Time-to-Market: Streamlined workflows and real-time collaboration accelerate production timelines.
  • Cost Savings: Reduce waste, rework, and warranty claims with better quality controls.
  • Compliance Assurance: Simplify audits and regulatory approvals with automated documentation.
  • Enhanced Supplier Performance: Monitor and improve supplier quality with integrated dashboards and analytics.

A Success Story: Driving QA Excellence with PLM

A global medical device manufacturer partnered with a contract manufacturer to scale production. However, they faced challenges in maintaining consistent quality across multiple facilities. By implementing ComplianceQuest’s PLM solution, they:

  • Integrated quality processes with supplier management.
  • Improved collaboration between design and third-party production teams.
  • Reduced non-conformances by 30% through better visibility and control.
  • Streamlined regulatory compliance, cutting audit preparation time by 40%.

This transformation not only ensured product quality but also strengthened the partnership between the OEM and the contract manufacturer.

Conclusion: Quality Metrics Must be Tracked During Contract Manufacturing

In an era where quality is a key differentiator, leveraging PLM software is no longer optional for contract manufacturers. ComplianceQuest’s PLM solution empowers manufacturers to optimize quality assurance, enhance collaboration, and ensure compliance, driving efficiency and excellence across the supply chain.

The contract manufacturing company must be on the same PLM, QMS, and Supplier Quality platform to ensure all teams truly collaborate and have access to real-time data and documentation. Key quality metrics and goals must be accessible to all stakeholders, and without this in place, quality excellence would be impossible.

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