Managers and executives in industry say what is on their minds about the process of evaluating and selecting outsourcing partners, how they manage their EMS and ODM partners, trends they see developing, and more.
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Outsourcing & Offshoring
Worldwide electronics industry survey reveals trends and strategic priorities
Direct cost, total cost of ownership, and reducing risk in low cost locations
Countries in low cost regions such as Asia and Eastern Europe may well be better positioned for many high volume manufacturing product needs. Furthermore, in many instances, these geographies may be ideal for offering a stronger ROI when executives are engaged in high-volume production.
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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.
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Thailand offshoring and outsourcing contract manufacturing
Celestica has touted Thailand’s government support for the electronics contract manufacturing industry for some time. The Company has a considerable presence in the country and speaks highly of the country’s workforce quality, low worker turnover, and low total cost of doing business.
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Vietnam offshoring and outsourcing contract manufacturing
A few of the electronics companies currently manufacturing in Vietnam include Intel, Canon, and contract manufacturing and design companies Spartonics, Mechatronics Engineering Group and, MiTAC Precision Technology.
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Brazil offshoring and outsourcing contract manufacturing
Meanwhile, as Brazil’s market for consumer products continues to develop, OEM executives engaged with contract manufacturers with facilities in Brazil could likely benefit from cost savings and reductions based partly on Brazil’s domestic consumer products consumption trend.
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Industry Pulse: Flextronics, Celestica, Nam Tai Electronics, Plexus, Benchmark
Read about Flextronics' deal with Hewlett-Packard involving cell phone imaging and the Company's reduction in work force with a facility in France. Celestica updates guidance believed to be partly related to poor performance of Mexico operations, Nam Tai Electronics announces a new CEO, and more…
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Understanding cost reductions for OEM outsourcing and the value EMS providers offer
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.
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India SMTA’s Rajinder Kumar on EMS, India, China and more
"There has not been a level playing field when comparing our industry to China's electronics contract manufacturing industry. In the past, conducting electronics manufacturing services has been more lucrative in China compared to India."
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Contract manufacturing in Mexico
Mexico has proven to be a popular location for contract manufacturing products for North American and European OEMs for products that have a quick time-to-market turnaround requirement or high transportation costs.
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