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The ‘where and when’ of outsource manufacturing can pose some important strategic decisions for today’s oems. By Mike Richardson.
Whilst the growth in offshore manufacturing may well have divided opinion on whether the UK continues to be an economical place in which to manufacture, oases of innovative companies still thrive by establishing niches in the burgeoning contract electronics manufacturing (cem) market. Demonstrating the ability to anticipate and respond to commercial and technological developments, today’s UK cems can provide solid solutions to the conundrum of where and when to outsource manufacturing. The right time and place for outsourcing requires the oem to understand what drives their business and what their core competences are. For some, sustaining the cost of an in house manufacturing facility can prove difficult if not impossible. Investment in manufacturing plant is expensive and the oem may find equipment utilisation can be low. It’s the classic make or buy decision. Why expose your business to unnecessary risk when there are established cems demonstrating an expertise in managing the complete manufacturing infrastructure?