Industries require expensive and complex heavy machinery and equipment. These can be mechanical, electrical or a combination of both. Commercial and military establishments require heavy machineries.
The core competence of Original Equipment Manufacturers (OEM) is the design and the manufacture of machines according to the specifications of the industrial users, with features matched to their needs.
These machines are characterized by high precision components. Each machine has several parts, with different functions and sizes.
New concepts in manufacturing, such as modular manufacturing, have forced manufacturers to contract the manufacturing of electronic parts to third-party vendors.
These vendors have core competency in electrical manufacturing, unlike their customers, who need to have competence in electrical and mechanical manufacturing. By focusing, vendors achieve cost efficiency and quality.
Electronic contract manufacturing is a huge industry due to the high demand for electrical parts. Some of the most in-demand sectors of this industry are printed circuit boards, RF boards, box builds and other assemblies.
These businesses require high technology and speed. Electronic contract manufacturing mainly depends on industries such as telecommunications, transportation, and medical and consumer goods.
As this is a high-technology industry, the choice of contracting out services can be decided by quality certifications such as ISO and GMP standards. Besides these, technological standards and clients' testimonies may prove helpful in choosing vendors.
Some vendors provide services other than manufacturing, such as design, which may help in problem solving.
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