This MOU spells out many of the conditions EMS providers want put into place when transferring in an OEM program into their factory and includes detailed concerns and strategy from EMS provider internal functional groups such as issues associated with EMS process engineering, EMS program management, test engineering, EMS materials (purchasing and planning), EMS warehousing and more. The purpose of this MOU is to help both parties (OEM and EMS) reach a better understanding on (1) the respective rights and responsibilities of each party related to the level of effort contracted, (2) the performance expectations of each party as to the product(s) and/or service(s) delivered, and (3) the distribution of revenue for products delivered and/or services rendered.
For decision makers seeking manufacturing cost models for outsourcing programs to EMS and ODM solution providers and want more informed decision-making to better determine what your landed costs should be, wanting to identify internal EMS and ODM factory costs (by factory, by geography, by production line and by program) to identify hidden provider profits and ways to lower annual spend and positioning during the contract negotiations phase, read more about our manufacturing cost models here.
MANUFACTURING COST MODELS
Identify internal supplier costs and negotiate better pricing
We hope you find this content helpful in your information gathering process and it aides you in making more informed decisions. View more documents here.
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