The electronics manufacturing industry is considered a front runner in terms of leading innovation and technological advances, as well as in crafting new ideas and incorporating them in the products. The industry is abundant with both opportunities and challenges. Adapting to constant changes and catering to the complex needs in this rapidly growing industry is not only a relentless battle but the market is also getting tougher with new innovations causing a sprint to keep up with the introduction of new products. Those who can consistently upgrade themselves with the cutting-edge technology and designing tools, are bound to lead the competition. A perfect balance between the design, engineering and manufacturing facets can only aid to keep the electronics manufacturing business growing!

Although Design is the best value-added service that an EMS company can provide, nowadays the electronics industry trend is demanding for an end-to-end design and engineering service to be included in its product life-cycle management portfolio. In addition to providing the basic manufacturing services like PCB assembly, testing, product integration; an EMS company is expected to migrate itself into an Electronics System Design and Manufacturing (ESDM) company and assist throughout the design processes. It is the responsibility of an ESDM company to ensure that the product designed and manufactured is robust, cost effective and meets the industry standards. Now more than ever, it’s imperative to optimize design, engineering and manufacturing processes and costs, maximize performance, and reduce the risks of producing faulty products.

Need for transformation and expansion

Today, OEMs are increasingly outsourcing almost every aspect of production from design to final assembly to distribution and after-market services. Hence, it is very vital to have a good match between the OEM and the ESDM partner. For businesses looking for new product launches with shortened product life cycles, considering outsourcing is a quick and cost effective way to break into new markets. Thus, the need of the hour and the best growth strategy for an EMS company is to expand and include design services in its offerings and head towards transforming into an ESDM company.

Benefits of transforming into an ESDM provider

1. Business sustainability: Adding design & engineering capabilities to its service portfolio, an EMS provider will be truly designing a product and will be prepared for analysing the design for manufacturability, and in turn being doubly sure that the product can actually be manufactured. Being a design house itself, an EMS company can be independent with a strategic business continuity plan for long term growth and will never be in need to hunt for orders.
2. Precision and functioning of the product: Strong design analysis for manufacturability, assembly, procurement and testability helps to increase the manufacturing efficiency of legacy products and improve time to market.
3. Ability to offer Build-to-Specification model: Offering a total product life-cycle management model to the OEMs not only helps an EMS company to grow and establish financially, but also will be a one-stop-shop for all the design, engineering and manufacturing needs.
4. Being an Original Design Manufacturer (ODMs): Electronic products are in need of constant design amendments based on the expectation of end users. If an EMS provider can offer this service in-house, it helps OEM to minimise costly design iterations as well as bring the product back to market soon.
5. Preferred Partner for an OEM: It is definitely a strategic process for an OEM to find an ideal ESDM partner. Selecting a right preferred partner will be helpful in saving time, effort and funds. On the other hand, being a preferred ESDM partner will boost the credibility, reputation and will pay off in the long run.

Final Thoughts

In a nutshell, adding design and engineering services will enable an EMS provider to contribute towards cost reduction, streamlining production scale-up, improve quality and speed-up factory to market time. To conclude, more an EMS company adds Design capabilities to its offerings, more likely it is to become a desired terminal for the major OEMs of the world.

Why Vinyas

Spending two decades in the EMS industry which is technologically demanding with challenging margins, Vinyas has overtime developed and practiced most efficient practices to reduce overhead cost as well as maintain high quality. Vinyas offers integrated solutions for all the ESDM needs which includes Design & Development, Engineering Solutions, New Product Introduction, PCB Assembly, Advanced Testing and Systems Integration. Vinyas also has dedicated design engineers for custom engineering support along with a strong and Strategic Project Management team to fulfil the demand chains and emerge as long-term winners in the marketplace.

For more information, pls write to info@vinyasit.net.

We would love to discuss your ESDM needs and await the opportunity to partner with you.