Contract manufacturing has been around for decades, and many industries rely heavily on outsourcing to remain competitive. While all supply chain processes can be outsourced, many OEMs are looking at contract assembly as an area of opportunity. 

Careful consideration should be given to outsourcing a step in your supply chain and it is not a choice to be made lightly. There are many factors to consider when deciding if contract assembly is right for your business. To help you make the decision, below are 3 facts you need to know when considering contract assembly and selecting a contract manufacturer

 

       1.  Non-Core Competencies are Excellent Opportunities for Outsourcing

Every OEM must identify which skills are core competencies and, therefore, need to be maintained in-house. This process allows your team to build and maintain know-how and expertise in the areas that matter most to your business. Assembly is often a skill that is not a core competency for OEMs. Complex product assemblies, such as PCBA, can involve hundreds, or even thousands, of parts and consume a huge amount of a company’s time.  Contract assembly with a trusted partner saves OEMs time, money, and resources – giving an invaluable competitive advantage

In addition, teaming up with a contract assembly partner enables OEMs to tap into years of know-how and expertise. Contract manufacturers have decades of experience with various products and industries, giving OEMs confidence in complete, accurate assembly processes. At RiverSide Integrated Solutions (RIS), we provide product assembly solutions that include building time-consuming sub-assemblies that are ready for installation in your products or building complete products start-to-finish. We use our experience to provide insights and recommendations that add value for our customers. 

 

       2. Contract Assembly Partners Vary Significantly in Capabilities and Solutions Offered

Not all contract assemblers are created equal – they vary in capabilities, quality assurance, and range of solutions. Thus, not every assembly partner will be a good fit for your business. Proven contract assembly partners are specialized in their craft resulting in higher consistency and reliability of the product. When you choose RIS for your assembly projects, you can expect the hands-on customer care of a small manufacturing operation and the capabilities characteristic of a much larger company with our complete electronics manufacturing services for OEMs in any industry.   

Manufacturing partners with a variety of offerings are better positioned to provide support as your business grows over time. RIS is an integrated manufacturer which means we perform multiple steps along the supply chain including manufacturing as well as value-added operations such as assembly, kitting, distribution, and fulfillment.  Integrated manufacturers offer significant value for OEMs such as streamlining production schedules, improving the consistency and reliability of the final product, and minimizing the number of vendors involved in the manufacturing process.  At RIS, we have the capabilities, capacity, quality assurance standards, and resources to support all of your manufacturing needs – providing OEMs complete manufacturing solutions. 

 

Looking for a reliable assembly partner with proven experience and advanced facilities?

Contact the team at RIS today to learn more about our contract assembly and other supply chain solutions.

         3. Cost Is Not the Only Factor When Considering Contract Assembly

Many OEMs pursue contract assembly because of the appreciable cost and time savings it delivers. Whether outsourcing multiple supply chain steps or only product assembly, there are often manufacturing efficiencies to be gained – leading to reduced expenses, lead times, and overall costs. However, when deciding if contract assembly is right for your business, cost is not the only factor to consider. 

Intellectual Property (IP) and data security are invaluable to a business but are often not considered enough when evaluating contract assembly. Compromised security or an IP leak could be disastrous for an OEM; thus, companies must ensure their IP and data remains protected. Also, it is important to understand IP and data security laws, especially if considering contract assembly in another country.  When outsourcing any portion of your supply chain, including product assembly, it is crucial that OEMs select a trustworthy partner, like RIS, that will protect IP and ensure data security. 

 

About RIS

RIS is an advanced contract manufacturer providing robust solutions in circuit board assembly, sub-assembly and final product assembly, kitting, supply chain management, fulfillment, distribution, and reverse logistics. We employ more than 300 people and provide services to OEMs across the world. We operate 3 state-of-the-art manufacturing facilities within the U.S, and as your one-stop-shop we have the capabilities, capacity, quality assurance standards, and resources to provide you with support for all your manufacturing needs. 

With all the contract manufacturing partner choices out there, we know it can be difficult to find someone that not only understands your business model but also has your best intentions in mind. RIS has proven to always be a win-win focused relationship. As your one-stop-shop, we have the capabilities, capacity, quality assurance standards, and resources to provide you with support for all your manufacturing needs. We understand that supply chain management is difficult and very time consuming, so we urge our customers to utilize us in the fullest capacity. Our total-package solutions include: 

  • Extensive supply-chain network
  • Purchasing and inventory management
  • Dedicated Program Manager
  • Warehousing and drop-shipping capabilities
  • Flexible order fulfillment
  • Product assembly: sub-assembly and full product 
  • Scalability to meet your needs

Contact us today at (507) 523-3220 to see how we can help with your project assembly, or click here for a quote.

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Considering Contract Assembly? 3 Facts You Need to Know
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Considering Contract Assembly? 3 Facts You Need to Know
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Considering contract assembly? 3 facts you need to know: outsource non-core competencies, select the right assembly partner, and protect your IP and data.
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