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Updated: 07/02/2008

Contract pricing, profits, and OEM direct costs

While there are some common outsourcing manufacturing contract formats, no two contracts are identical and, there is no viable, common platform that can be applied to every outsourcing contract pricing model with regards to either party’s profits.

Manufacturing service level agreement

The following is a reasonable representation of a manufacturing service level agreement a contract manufacturer would present to a technology OEM for the purpose of building a robust product program.

5 improvement opportunities ranked by contract manufacturers

Our survey asked electronics contract manufacturers, original design manufacturers, and prototype houses to rank, in order of importance, their top 5 improvement opportunities. Read what they selected.

Supply chain contract delivery schedules, schedule changes, liability

Typically, what many OEMs are presented with from their contract manufacturing partners, with regards to supply chain contract scheduling and schedule changes, allows for schedule changes to occur but there is a limit to the degree of change in manufactured product volumes delivered.

Medical product design contract services agreement

The following is what a typical medical product design outsourcing contract agreement being presented by a contract manufacturer offering medical product design and manufacturing services.

Product design for manufacturing (DFM) considerations

Review some key electronics product design considerations companies should consider when developing technology products either in-house or, with original design manufacturers (ODM) or with electronics contract manufacturing partners.

Outsourcing cost reductions and benefits

This article breaks down the outsourcing cost and savings analysis for an OEM outsourcing program while also presenting the contract manufacturer’s cost of performing supply chain management services for the OEM customer’s business.

Original design manufacturers (ODM) and contract manufacturers

An ODM manufactures products from its own designs, which are then sold under an OEM’s brand name. Typically, the ODM determines what products to build and the OEM simply purchases the items as finished goods inventory. The ODM usually owns the rights to the intellectual property that goes into making the product.

Startup company product contract manufacturing and design outsourcing

Startup executives can refer to this plan to help them review internal depth and scope capabilities against anticipated company capability requirements so they may then determine at what point it may make sense to consider evaluating and engaging a contract product design partner or contract manufacturing partner.

Product design and development: supplier evaluation

Any questionnaire presented should cover as many of the product design and development aspects as possible to help OEM executives gain a full understanding of the contract manufacturer's tools, staffing experience, equipment ...

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