It's about the man behind the machine, quality policies and feed in resources for the process (material, electricity, etc), rather than the machine itself. A machine can be old, technology can be outdated but it can still deliver quality parts (so long as defined quality and machine capability are in sync). You don't need latest machines for such low volume work as is required here. They will never return their cost unless the entire production volume of 25-30 generations of Civic are produced on it for selling locally.
Problems come when:
Man behind the machine: If the person operating the machine is the usual karigar type uneducated person, he won't know or even fully understand the what and why of the process. He just knows to press button and remove part after xyz amount of time. Skilled labor costs money and penny pinching is typical to save on fixed cost like salaries. Further, training programs are either non-existent or few and far between. The person learns what little he knows on the job what is told to him and nothing else.
Quality policies: This is a critical issue. If the business does not have its own stringent internal QC (or if it is there but defined quality parameters are too low), any and all parts with minor/major imperfections will sail through. Atlas, at the receiving end, is equally responsible for accepting such low quality parts.
Resources (material): Obviously, material should be defined and monitored. If it is low quality to save on cost, the produced part will be affected.
Resources (electricity): This is a critical issue. Unless there is stable supply of electricity and/or backup power source, there will be a lot of wastage due to uneven temperature and those costs will bear pressure on company to reduce quality policies and/or material quality to bring down cost. Electricity coming and going wreaks havoc on such processes and I have experienced this myself when getting some plastic parts injection molded locally in Gujranwala and Lahore. I don't blame the company for this particular problem but Atlas/Indus/PS (it is the same with all three) and others should cut some of its margin on these parts and pay the companies more so that they don't skimp on quality or material of parts which come through ok.
There may be more points influencing this but these come to mind right now.