What happens if my quality issue is critical or exceeds the overproduced units?

Manufacturers will typically produce up to 10% more units than the ordered quantity — aka “overs”. Overs add some buffer room to account for potential quality issues in your order. Overs are billed after your order has been delivered, which allows us to compensate for any defective units that need to be subtracted from your invoice.

If the number of defective units dips below your order quantity by more than 15%, Lumi will take action in the following way: 

  • For critical defects: Lumi will initiate a remake of the items affected to meet the ordered quantity.
  • For minor or major defects: Lumi will review the order, provide a root cause analysis, and a case-by-case correction action plan.

Lumi takes a proactive approach to continuously measuring and improving the quality standards of manufacturing partners in our network. If severe quality issues are found, or a factory exhibits consistently poor quality, this will be reflected in the manufacturer’s scorecard and rankings on the platform. If this unusual situation occurs, Lumi will assist you in moving production to a different factory.

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