Without question, a primary factor for any equipment manufacturer in today’s competitive market is its ability to create and maintain innovative products that align with what clients need while keeping an eye on the future of their industry.
In a bid to remain competitive and maximize profits, many manufacturers choose to outsource their non-core areas. This of course can greatly increase efficiency by freeing up time and resources to perform core functions so that other aspects of the operation succeed at an optimal level.
When an OEM insists on keeping all aspects of production in-house, overheads are generally higher due to the requirements of specialist equipment, additional skilled labor, and of course additional facility space. By strategically outsourcing some of the high-cost, low-margin aspects of production, companies can improve their bottom line and maintain a competitive edge.
For many original equipment manufacturers, electro-mechanical assembly is often a critical component of the production process, but is this a task that should be outsourced?
From printed circuit boards to complex box builds, many manufacturers consider the production of their electromechanical assemblies to be a function that has to remain in-house. However, there are many reasons why electromechanical assemblies should be outsourced to a factory that specializes in their production. Here are just a few of the most compelling:
Reduction of overheads
Electro-mechanical assembly is an expensive process to invest in, requiring specialized machinery, a highly skilled and trained labor force, and additional space dedicated to assembly. Cost savings of outsourcing electro-mechanical assembly can be significant and are often a key reason behind many manufacturers' decisions to outsource.
Increased development speed
Typically, work gets done much faster when outsourced to a partner with a dedicated workforce specializing in electro-mechanical builds. This contributes to faster development and completion of the finished product.
When electro-mechanical assembly is outsourced to a specialist contract manufacturing partner, a company's resources can be focused on core competencies and high-margin activities. This should also result in increased production without risking quality or safety.
Reduce the need for specialist equipment and the risk of obsolete technology
Electro-mechanical assembly processes typically require that companies invest in the latest technology to ensure both speed and efficiency. This is both expensive and time-consuming. By outsourcing to a contract manufacturer who already has all the specialist hand tools and fully automated machinery, and is constantly researching and utilizing the latest technologies, companies can reduce the need for investment in new equipment and the associated time and capital expenses.
Quality control over electro-mechanical assembly work is critical to success. Electromechanical assemblies require precision and close tolerances for proper function. Specialist contract companies provide highly skilled assembly technicians in addition to expert testing procedures to ensure each individual component and the completed assembly component functions as intended.
Outsourcing electro-mechanical assembly is undoubtedly a smart decision with many advantages and a great way to reduce the need for in-house expertise and equipment, while still maintaining quality production.
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