Are Electronics Contract Manufacturing Companies Listening to Customers?

More than 500 managers and executives in the electronics hardware and design sector, many from electronics contract manufacturers and technology original design manufacturers (ODM), were recently polled in an online survey which presented numerous questions and various business perspectives and scenarios for commentary and ranking.

Part of the survey, which was presented online by www.VentureOutsource.com, asked electronics original equipment manufacturing (OEM) survey respondents currently outsourcing contract manufacturing and product design to about ranking specific objectives related to their companys business strategic priorities.

The top three business strategic objectives ranked in the order of importance are:

1. Reduce order-to-delivery time
\r 2. Manage inventory more effectively
\r 3. Reduce manufacturing costs

Meanwhile, the same business strategic priorities were also presented to electronics industry contract manufacturers and original design manufacturers.

The top three business strategic objectives these respondents ranked in the order of importance are:

1. Manage inventory more effectively
\r 2. Improve effectiveness of sales and marketing efforts and activities
\r 3. Improve demand forecasting

Interestingly, nowhere to be found in their responses was the number one business priority for OEMs reduce order-to-delivery time.

Additionally, the survey also identified some of the criteria electronics managers and executives in OEMs currently outsourcing either their product manufacturing or product design to rate the importance of certain criteria presented when selecting a contract manufacturing or product design company for a business engagement. The top five, with the criteria most important listed first, are:

1. Accountability - does what it says, when it says
\r 2. Quality certifications and facility approvals
\r 3. Relative business experience
\r 4. Financial stability
\r 5. Product design capabilities

* * *

Mark Zetter is president and founder of http://www.VentureOutsource.com

More survey results can be found in the 20+ page report, available in its entirety, here

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