How to Select Contract Manufacturing Services   Image Credit:  AEM-LLC Advanced Electronic Manufacturing   Contract manufacturing services provide parts and equipment on behalf of original equipment manufacturers (OEMs). The design and brand name remain the property of the OEM. Contract manufacturing may involve a complete range of services from design and prototyping to final production, assembly, and quality assurance for complete products. Contract manufacturing...
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Q & A on Contract Manufacturing Services

We asked our users for their input on Contract Manufacturing Services. Here are the results of 63 users familiar with Contract Manufacturing Services.

Who Took Our Poll? | Design Trends | Applications and Use | Features | Buying Advice |

Design TrendsTop

Q:
What new technologies are influencing contract manufacturing services?
12 answers
Answers:
It's not so much the technologies but the technique of delivery of service. We think "Vested Outsourcing" is a real game changer. Kate Vitasek at Univ of Tennessee describes it well in her books.
~Scott R Schroeder, President/Owner, Corvallis, OR
Research and the Evaluation of the supplier's work. The graphic evaluation of the client's overall efficiency.
~PRAKASH MP, Manufacturer, INDIA, INDIA
They don't necessarily have to be new, but smart and innovative use of well known technologies.
~Manufacturing, Oslo, Norway
Complete Turnkey Operations Dock to Stock Lean Manufacturing
~Bud B, Manf Eng, Denver, CO
Defend to the requirement base on the specification given.
~Mohd shafei Meon, Snr Contract Administration/ Tender Proposal, Engineering (Petroleum/Oil/Gas), Malaysia
Miniaturization of components and devices.
~General Corporate Mgmt, Warwick, RI
Size of components, LED technology
~Colin R, Marketing/Sales, Plymouth, MA
Power Sector, Engineering Sector,
~Vaibhav Khanna, Builder/Contractor, Nagpur, India
Electronic Management
~Engineering, Other, Lahore, Pakistan
MIM , PMS electronics
~Jordana Pascal, General Management, MARSEILLE, France
JIT Robotics
~Rick Iorillo, Marketing/Sales, Newark, CA
ERP
~J R, General Management, Singapore, Singapore

Q:
From your perspective, which companies are creating the most innovative contract manufacturing services?
9 answers
Answers:
Although small to mid-sized companies are pushed into the miniaturization technologies, small to mid-sized companies are innovating more to keep up because they don't have the deep pockets of the Tier 1 companies.
~General Corporate Mgmt, Warwick, RI
Tier 2 & 3 companies are making the best improvements for the OEM's from what I can see. They are more flexible and respond faster and better than tier 1 companies.
~Colin R, Marketing/Sales, Plymouth, MA
Microprocessors Mechanical Engineering Transistors and Semiconductors Tailor Made to suit equipments
~PRAKASH MP, Manufacturer, INDIA, INDIA
All companies must have their legal department and team for contract analysis.
~Mohd shafei Meon, Snr Contract Administration/ Tender Proposal, Engineering (Petroleum/Oil/Gas), Malaysia
Those with multiple locations in various regions around the world.
~Bud B, Manf Eng, Denver, CO
Again, those that are using a "Vested approach".
~Scott R Schroeder, President/Owner, Corvallis, OR
Most of the Multinationals
~Engineering, Other, Lahore, Pakistan
GM Apple Google
~Rick Iorillo, Marketing/Sales, Newark, CA
SAP
~J R, General Management, Singapore, Singapore

Q:
What would your design or feature "wish list" be for this service's capabilities?
5 answers
Answers:
Only one of many thousands of natural resources is used for any of the manufactured items I wish there is an International record on the Natural resources availability. Not an IT but a country wise record will give more output.
~PRAKASH MP, Manufacturer, INDIA, INDIA
Turnkey, manage everything from supply chain to shipping.
~Bud B, Manf Eng, Denver, CO
New hand held devices for 3rd world countries.
~Rick Iorillo, Marketing/Sales, Newark, CA
Full operation integration.
~J R, General Management, Singapore, Singapore
Detailed Information
~Engineering, Other, Lahore, Pakistan

Applications and UseTop

Q:
What are some of the projects you have used contract manufacturing services for?
15 answers
Answers:
We have used some CM services occasionally when our client needs some form of service that we do not posses the capability internally or we cannot do it ourselves within a given price target.
~Scott R Schroeder, President/Owner, Corvallis, OR
Cable Assembly, Connector Assembly, Electro Mechanical Assembly. Military, Aerospace, Medical, Automotive, Industrial, Telecom, New Energy, etc....
~Bud B, Manf Eng, Denver, CO
Medical, Defense and Industrial Printed Circuit Board Assemblies, Sub-assemblies and System assemblies
~General Corporate Mgmt, Warwick, RI
Medical, oil & gas, electronics, measurement, sensor, automotive, space, army ? others
~Jordana Pascal, General Management, MARSEILLE, France
Inflatable seat belt parts and parts for very small microwave connectors.
~Dan H, Manufacturing and Development Engineer, Tempe, AZ
Equipped a van for health service in rural districts of Sudan
~Manufacturing, Oslo, Norway
Assembly and test services for semiconductor backend
~J R, General Management, Singapore, Singapore
All awarded project must have a contract
~Mohd shafei Meon, Snr Contract Administration/ Tender Proposal, Engineering (Petroleum/Oil/Gas), Malaysia
PCB assembly, Cable & Harness assembly
~Colin R, Marketing/Sales, Plymouth, MA
Manufacturing machinery sub assemblies
~Quality Control/Assurance, Eden Prairie, MN
Tools and Dies 101 % of parts
~PRAKASH MP, Manufacturer, INDIA, INDIA
Computers sheet metal
~Rick Iorillo, Marketing/Sales, Newark, CA
Repair of boilers
~Engineering, Other, KUWAIT, Kuwait
For Metal working
~Vaibhav Khanna, Builder/Contractor, Nagpur, India
For Marketing.
~Engineering, Other, Lahore, Pakistan

Q:
Please share with us any “non-standard” projects that contract manufacturing services have been used for.
7 answers
Answers:
In my country most of the projects are non-standard, excluding the imported equipment.
~Engineering, Other, Lahore, Pakistan
Tailor made to suit equipments in Transformers and Material processing.
~PRAKASH MP, Manufacturer, INDIA, INDIA
Construction work, Oil & Gas, Fabrication works.
~Mohd shafei Meon, Snr Contract Administration/ Tender Proposal, Engineering (Petroleum/Oil/Gas), Malaysia
Special request for new automotive market.
~Jordana Pascal, General Management, MARSEILLE, France
Health Care medical devices.
~Rick Iorillo, Marketing/Sales, Newark, CA
PCBA
~Bud B, Manf Eng, Denver, CO
Hr
~J R, General Management, Singapore, Singapore

Q:
Do you know of any disastrous mistakes that occurred due to faulty or incompetent practices of contract manufacturing services?
5 answers
Answers:
We had an experience where a CM did not thoroughly research the RFQ requirements. Once we issued a PO, they came to us with huge minimum buy requirements well into the quoted lead time. We had to cancel the PO and contact a different CM. We lost three weeks of lead time and the price was greater.
~Scott R Schroeder, President/Owner, Corvallis, OR
Companies who transition from one facility to another without proper planning can create a disaster for your business.
~Bud B, Manf Eng, Denver, CO
Design mistakes may be the first and then the mistakes while purchasing and the human error and lack of skill.
~PRAKASH MP, Manufacturer, INDIA, INDIA
Switching to another platform without back-up.
~J R, General Management, Singapore, Singapore
The contract late deliver to the main-con.
~Mohd shafei Meon, Snr Contract Administration/ Tender Proposal, Engineering (Petroleum/Oil/Gas), Malaysia

FeaturesTop

Buying AdviceTop

Q:
Do you have any advice for people relative to buying or using contract manufacturing services?
4 answers
Answers:
Focus first and foremost on the CM's approach to the relationship. Do they subscribe to John Nash's concept of doing what is best for each other and the group? Without this attitude or belief, all the other deliverables are not as valuable. And long term success is built on highest value not lowest cost.
~Scott R Schroeder, President/Owner, Corvallis, OR
Find experts within your scope of need. Find established companies with longevity. Get references from companies with similar service needs.
~Bud B, Manf Eng, Denver, CO
Know the service provider well. Historical performance. Don't just go for lower cost.
~J R, General Management, Singapore, Singapore
I would be sure their mfg engineering team was very strong.
~Colin R, Marketing/Sales, Plymouth, MA

Q:
Is there any advice you want to share with users to help them avoid common errors in selection or usage of contract manufacturing services?
6 answers
Answers:
I would not base decision on price. You should look at process improvement capabilities, this is where you can save money.
~Colin R, Marketing/Sales, Plymouth, MA
The contract must be received in enough time for both parties to discuss any mistake or error type before stamping and agreed.
~Mohd shafei Meon, Snr Contract Administration/ Tender Proposal, Engineering (Petroleum/Oil/Gas), Malaysia
1- Initial proposal 2- Brain storming discussion 3- Decision making 4- Application 5- Follow up
~PRAKASH MP, Manufacturer, INDIA, INDIA
Read Kate Vitasek's books and then contact Mega Tech of Oregon!
~Scott R Schroeder, President/Owner, Corvallis, OR
Understand their core competencies
~Bud B, Manf Eng, Denver, CO
Go for trial sessions first.
~J R, General Management, Singapore, Singapore


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