Concerns expressed by OEM professionals to Venture Outsource over the years when OEMs are engaged in request-for-quote (RFQ) process with EMS providers.
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Cost Reductions, Finance
OEM Request-for-Quote (RFQ) Conditions & Strategy Presented to Contract Electronics Provider Pre Quote Pricing – Document
EMS provider secretive demeanor preventing better OEM relationships
Is EMS open-book pricing typically offered without OEMs having to ask? Or do OEMs have to ask for it? Do most EMS providers sit at the table with prospects with an us v. them mentality?
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Finding expert witness for contract electronic EMS manufacturing
Venture Outsource works with defense and plaintiffs for both suppliers and customers in electronics supply chain and manufacturing technical and business disputes.
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OEM trust in purchase price variance (PPV) and open-book pricing
The underlying issue in the OEM-EMS relationship is most solutions providers are unwilling to share real open-book pricing because it exposes them to realizing they don’t fully understand and capture their true internal costs. A lot of EMS working capital is tied up due to poor internal EMS decision-making.
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Thin margin myth in EMS manufacturing
Why EMS sales convinces OEMs that EMS margins are thin and how OEM customers continue to pay extra for lack of real risk decisioning by EMS management.
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EMS manufacturing materials purchasing in the extended supply chain
Some strategies include grouping part numbers by commodity or supplier, managing line items based on pricing or parts that make up the biggest value of your bill and materials (BOM), to name a few.
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Contract manufacturing NRE strategy for electronic OEMs
Non-recurring engineering (NRE) tips for OEMs working with contract electronics solutions providers. Your approach to NRE can vary depending on program size and your financial objectives.
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Internal vs external manufacturing cost feasibility analysis in electronics outsourcing
The diagram shows how internal electronics OEM costs are reduced as the outsourced OEM program transitions to vertically-integrated contract solutions providers.
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EMS Provider perspective: Managing end-of-life (EOL) product lifecycle management (PLM)
Includes steps and activities for department employees in engineering, quality, program management, testing, procurement, planning and logistics, funding and more.
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How to OEM request BOM quotes (RFQ) for EMS manufacturing
A BOM RFQ letter to help validate electronic OEM program business assumptions and select suitable EMS providers for complete turn key contract electronics.
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