In this episode of Find Your Source, Stephen breaks down one of the most overlooked—and most operationally complex—parts of product fulfillment: kitting and bundling. Whether you’re assembling e-commerce sets, promotional packs, or sub-assemblies for manufacturing, the big question remains: Should you do it in-house or outsource it?

Drawing from decades of supply chain and manufacturing experience, Stephen walks through how to make that decision strategically—balancing control, cost, speed, and scalability. He also shares a comprehensive checklist used by top-performing companies to evaluate outsourcing partners and maintain operational excellence.

💡 What You’ll Learn:

• How to decide whether in-house or outsourced kitting makes sense for your operation

• What factors truly impact cost, quality, and lead time

• The 10-point checklist for outsourcing success:

  1. Define scope clearly — packaging specs, ownership, and process flow

  2. Vet your partner — capabilities, certifications, stability, and references

  3. Maintain data control — traceability, dashboards, and reconciliation

  4. Set quality standards — QA checklists, sample approval, and defect thresholds

  5. Communicate consistently — weekly cadence calls and escalation paths

  6. Structure contracts wisely — transparent pricing, SLAs, and exit terms

  7. Optimize logistics — co-location, cross-docking, and replenishment cadence

  8. Ensure compliance and security — NDAs, insurance, and business continuity

  9. Track and improve — KPIs, CAPA reviews, and quarterly performance meetings

  10. Plan for scale — modular setups, redundancy, and multi-site flexibility

Stephen emphasizes that successful outsourcing isn’t about giving up control—it’s about creating systems that maintain it, even when you’re not the one assembling every box.

📬 Ready to refine your operation? Visit the “Work With Me” tab at findyoursource.pro to connect with Stephen for help auditing your fulfillment process, selecting kitting partners, or setting up in-house workflows that scale.

Episode 010 tackles a key question for entrepreneurs and manufacturers alike: Is it time to use contract packagers or co-packers? Stephen Peterson breaks down the decision-making process, helping listeners understand when outsourcing makes sense and how to structure agreements for long-term success.

Key Insights:

• When to use them: Ideal for startups or new product launches where demand is uncertain and you don’t want to tie up cash in equipment or facilities. Co-packers can handle everything from specialized packaging to fulfillment, letting you focus on marketing and sales.

• Why to use them: They bring expertise, compliance (FDA, EPA, food safety, etc.), and efficiency. Their buying power and experience in packaging design often lower overall costs while ensuring quality.

• Cost models: Decide whether to use a cost-plus model (detailed bill of materials plus agreed margin) or a flat fee per unit/day. Cost-plus offers more transparency and opportunities to share in savings as volume grows.

• Bill of Materials (BOM): Always request a detailed BOM. This clarity helps you understand where costs are coming from and how you can strategically reduce them—whether through packaging choices, volume discounts, or labor efficiencies.

• Storage as a tool: Don’t overlook warehousing as a negotiation point. Free or extended storage terms can create meaningful savings without asking the co-packer to cut into their margins.

Stephen’s bottom line: Using co-packers strategically can accelerate growth, protect your cash, and give you flexibility—provided you go in with clear expectations, written agreements, and a focus on win-win outcomes.

📬 Questions or ready to take your next step? Visit the “Work With Me” tab at findyoursource.pro to connect with Stephen directly.

Episode 009 of Find Your Source focuses on the art of negotiating better prices through relationships, not pressure tactics. Stephen stresses that manufacturers have real costs—labor, raw materials, packaging, and infrastructure—and simply pushing for price cuts rarely works. Instead, the key is to:

• Build genuine relationships: Go beyond the contract table—talk about their goals, future plans, and challenges. A strong personal connection often opens the door to honest business discussions.

• Understand their business: Learn their processes, pain points, and legacy costs. By stepping into their shoes, you’ll see where costs are locked in and where efficiency gains are possible.

• Bring fresh ideas: Look for ways to enhance their business—introduce new packaging options, highlight automation opportunities, or share sourcing contacts that lower their costs.

• Create true win-win outcomes: When you help a manufacturer become more efficient or more profitable, you earn the right to share in the savings while securing long-term supply and stronger trust.

Stephen’s takeaway: Negotiating isn’t about squeezing margins—it’s about collaboration, creativity, and fairness. When you approach it this way, you’re not just getting a better price; you’re building partnerships that last.

📬 Questions or ready to take your next step? Visit the “Work With Me” tab at findyoursource.pro to connect with Stephen directly.