10 Reasons You Should Outsource to a Toll Processing Company
Justin Klinger, Dec 16, 2021 8:54:00 AM
Rising prices for energy, transportation, and raw materials are leading many manufacturers to look for more cost-efficient ways to produce goods.
That search often leads them to custom toll processing as a solution, but rising costs of production are just one part of the equation.
In fact, there are many arguments for working closely with a tolling partner. In this article, we’ll take a look at 10 benefits you can expect from a toll processor.
10 Reasons You Should Outsource to a Toll Processing Company
- Dedicated experts in engineering and material science
- Specialized processing equipment without the need for capital investment
- Flexible manufacturing capacity to address increased demand
- No worries about maintenance, spare parts, or payrolling skilled operators
- Predictable costs and turnaround times
- Quality management system accreditation and specialty certifications
- Protection of your proprietary formulations
- Reliably safe operations
- In-house quality testing and analysis
- Pre- and post-processing services can streamline supply chains
1. Dedicated Experts in Engineering and Material Science
Toll processors have whole teams of experts on material science, chemistry, and engineering. Those experts handle process validation, troubleshooting, and optimization, research and development, and much more. They’re dedicated to achieving your material specifications to the highest standards while optimizing for time and energy use.
Processes like particle size reduction, blending, extrusion and extraction demand precision — and when supply chain disruptions lead to changes in raw material suppliers or substitutions, fresh challenges can arise. A technical team with an advanced understanding of processing technologies helps put solutions within reach.
2. Specialized Equipment Without the Capital Investment
An established toll manufacturer has already invested in, installed, and mastered the operation of high-end, specialized equipment. So you get access to cutting-edge material processing technologies without the long lead times, complex installation requirements, costs of equipment depreciation, insurance, permitting, etc.
Plus, there’s extra value in establishing a relationship with a trusted toll processor: if you need a specialized process that your tolling partner doesn’t already have, if it makes long-term sense, they may even be able to make the capital investment for your project.
3. Flexible Manufacturing Capacity to Address Increased Demand
When demand spikes or seasonal fluctuations put time pressures on your manufacturing processes, it can have you wishing for redundancies. But equipment that’s not always running can be extremely costly. Working with a toll processor enables you to get the benefits of that extra processing capacity, ready to run when — and only when — you need it.
4. No Worries About Maintenance or Skilled Operators
Manufacturing equipment brings more costs than just the machinery itself. Skilled equipment operators and maintenance specialists are needed to run them properly and to keep them running. Spare parts need to be kept on hand, and specialized equipment and materials can be required for cleaning protocols to prevent cross contamination.
When you entrust a toll processor with your custom manufacturing projects, those simply are no longer your headaches.
5. Predictable Costs and Turnaround Times
One important thing to know about experienced toll processors is this: they value predictability at least as much as you do. And they go to great lengths to create predictable, repeatable, optimized processes. It’s this dedication to the data that enables their technical experts to estimate projects accurately both for cost and time.
A tolling partner understands — maybe more than any other service provider you’ll work with — the importance of being able to properly forecast shipments and costs.
6. Quality Management Accreditation and Specialty Certifications
Your quality management system (QMS) is your proof that the products you manufacture are exactly what you claim they are, and that they’ll reliably perform to specification, every time. So when you establish a relationship with a custom toll manufacturer with an established, documented, accredited QMS, you can be assured that any material that moves through their enterprise will meet those same high standards.
And if your customers and/or end users have specific expectations — such as organic or kosher labeling on food, pharmaceuticals, or other GMP products — a certified toll processor just makes everything easier.
7. Protection of Your Proprietary Formulations
When you partner with an expert toll processing company, you can have confidence that they’ll do everything it takes to protect product formulations, proprietary processes, and any other information you share with them. Your toll processor knows the value of confidentiality; it’s the basis of trust.
8. Reliably Safe Operation
Safety is everyone’s business, and when you communicate closely with your toll processor and provide as much detailed information about raw materials as you can, you help them process your products safely. Expect to deliver a safety data sheet for every material, and if your technical team makes recommendations that could change personal protective equipment (PPE) requirements, equipment, or materials, they’ll consult directly with you.
But the bottom line is this: a toll processor is an expert at safely handling a broad range of materials, safely operating the equipment needed to process those materials, and safely transporting goods to their next point in your supply chain or manufacturing process.
9. In-house Quality Testing and Analysis
A tolling partner that can perform testing and analysis while work is in process can get your products out the door faster, and can achieve — and prove they’ve achieved — your desired outcomes within the tolerances you specify. In-house testing allows for quicker troubleshooting, as well as process optimizations that might otherwise not be possible.
And if your products need to be analyzed by batch before shipment, a processor that can also test can eliminate the burden of looking for another service provider.
10. Pre- and post-processing services can streamline supply chains
It’s a good feeling when you find a custom manufacturer that can perform the micronizing or wet milling process you need. But it’s an even better feeling when you discover the same toll processor can also provide drying, blending, and even liquid bottling all under one roof.
A toll processor that can do more for you than just one step in your overall manufacturing process can save you even more time and money, and eliminate the potential for bottlenecks or delays.
Help Finding the Right Toll Processor for Your Needs
Sure, you can probably Google “processing company near me,” and come up with results for crushing, milling, drying, and maybe even some related services within a short distance from your operations. But there are plenty of critical considerations besides location.
Along with the services you need today, be sure to ask about their full range of services. You’ll also want to investigate any toll processor’s quality accreditations and certifications, and talk with their technical experts to explore the ways their services can help you get more value from their expertise.
Our guide, Comparing the Benefits of Toll Processing and In-House Manufacturing, can help you determine which of your processes are the best candidates for outsourcing. Click the link below to download a copy today.