Excess inventory is a liability to both the EMS provider and OEM. This exposure must be watched closely by both since the EMS provider will undoubtedly come back to the OEM looking for payment for exposed material left over. If OEMs feel the EMS provider is not practicing proper procurement practices, OEMs should push …
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RFQ/RFP Management
Ways OEMs avoid electronics NPI mistakes
New product introduction (NPI) quoting and the OEM
OEM companies engaged in quoting exercises for new product introduction (NPI) business services with contract manufacturers can expect the capable contract manufacturer to carefully lead the OEM through an established and itemized list of NPI product requirements and processes.
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What you should know about quote pricing, purchase orders, and ERP systems
Quote pricing and purchase orders are driven by purchasing, programs management, and materials management departments in the contract manufacturer. Read how these functions drive the process and the role of the enterprise resource planning (ERP) system.
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Contract electronics direct costs, profits and OEM pricing
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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Electronics services ROIC, contract negotiations and pricing models
An important aspect of the ROIC pricing model to be aware of is that in uncertain business segment environments, most OEMs will not want to help expedite accounts receivable for the EMS provider / contract manufacturer.
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EMS Manufacturing global pricing drivers and OEM fees
Understand ways EMS providers determine costs for pricing quotes to OEMs for better contract negotiations outcomes and driving OEM program cost reductions.
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Checklist: Questions to qualify electronics original design manufacturers (ODM)
These question should help OEMs gain a better understanding of capabilities, tools, staffing experience, shortcomings… with ODM or EMS providers.
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OEM cost (spend) and EMS pricing models
Using this model, This pricing model framework is easier for both parties to administer the relationship while it is also easier for the contract manufacturer to track and manage internal costs.
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Request for quotes tips help OEMs choose electronics services
Request for quotes (RFQ) processes can be vary for each OEM-contract manufacturing engagement. However, there are some aspects of this activity that can be deemed universal in the industry.
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