Technical Electronic Manufacturing Services: Importance of EMS
Posted on 2020-09-04The Future of the Technical Electronic Manufacturing Services
Technical Electronic manufacturing services often use the word “Electronics Manufacturing Services (EMS)”. You must be wondering why is the term so important? This is not just a term, on the contrary, it points to an entire industry as well as a company or a subcontractor.
In general, the manufacturers often swap the term EMS with a more general term, Contract Manufacturing (CM). In simple words, we can say that EMS firms are responsible for providing a diverse and value-added manufacturing outsourcing service to the OEMs.
Thus, making it possible for them to focus on the core activities as well as enhancing their operational efficiencies. The manufacturers are able to concentrate on development and research.
There is no denying that there is a steady increase in the demand for electronic parts. For this purpose, more companies are looking for outsourcing their manufacturing services to reliable companies such as the 6PCBA.
To fully comprehend the importance and the impact of the EMS, you need to be well aware of the market trends. In this article, we are going to talk about the impact these services currently as well as in the future.
Industry Forecast
According to market research, there will be a 7.5% compound annual growth rate between 2018 to 2024. Due to the increased demand for consumer electronics along with the introduction of innovative technological advancement, the manufacturers are trying their best to capitalize on opportunities.
Manufacturers are looking for solution partners that can help them control costs while meeting increasing consumer demands. They want partners that can offer them the industry experience and expertise.
Since we are the global leaders in low volume along with high mix-manufacturing, therefore, we have a clear idea of the evolution EMS industry. We can see how the services are going to play a vital role in the electronics value chain.
Below, we are going to focus on the factors that have an impact on EMS including challenges, applications, and the factors that you need to pay heed to when outsourcing your manufacturing services.
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Technical Electronic Manufacturing Services: An Overview and its Applications
At the base of electronics manufacturing services is the ability to offer stems from manufacture, design, test & distribution. Professional and experienced EMS providers will perform the above functions. It would also offer assembly of the entire systems, especially for the original-equipment manufacturers.
For instance, when offering box build or system integration services, the manufacturers could use a number of processes including wire harnesses, combine PCB assemblies, testing, enclosures’ fabrication, and much more.
Electronics Manufacturing Industry
The electronics manufacturing industry has its roots in numerous other industries including consumer, government, and industrial products. You will also find the electronics manufacturers in the health care industry as well as the electronic components as well.
The growth in Electronics manufacturing service market suggests that you focus on the following 4 driving forces.
The main four major factors of the Electronics Manufacturing Services are listed below. The Market Research believes them to be important for the Market Research.
Automotive-Electronics
Over the years, electronics-manufacturing industry has seen consistent growth in automotive electronics. The flow can be due to the reason for the increased need for safety systems.
Consumer Electronics
Another factor that plays a vital role in the electronics industry’s growth is the increasing need for consumer electronics. As per a report by Frost & Sullivan, an increase in consumer electronics would result in an increase in outsourcing services.
Core Competencies
Companies are not looking for advanced skills. After all, the objective is to focus on the core competencies. Thus, they are always sinning search of solutions provides that can give them solutions in the respective market sector or the specific field.
Mobile Devices’ Proliferation
Statistics show that is consistent growth in the Android, iPhone, and other smart mobile devices. According to Cisco’s report, there would about around 5.4-billion people in the globe would be having a smartphone in 2002.
Applications of Technical Electronic Manufacturing Services
Below, we have listed different applications of technical electronic manufacturing services.
Medical
The Medical OEMs are always searching for EMS providers that can offer them both the highest-quality standards and the best processes. In addition, the industry experience and expertise help with the guidance of upcoming product introduction smoothly via development.
Defence and Aerospace
For harsh environment and peak performance applications, it is imperative to go with the safety-critical solutions. Therefore, the manufacturers would have to focus on the electrification of aircraft. They would have to ensure that every product meets the highest safety industry standards.
Industrial
Numerous industries around the globe use a number of technologies. For this purpose, they want technical electronic manufacturing services provides to have in-depth experience of the product’s lifecycle.
The lifecycle includes the scope along with the specifications via prototyping, prototyping iterations, testing, and finally the assembly. These are all the services that a professional manufacturer would provide to ensure the success of the product.
Telecommunication
As communication is becoming easy and smooth, the backend of the telecom sector is becoming complex. Thus, it is becoming a challenge to process the telecom data efficiently. In order to perform the function smoothly, the industry needs support for other devices. In addition, the network structure needs to have underpinning technology.
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Comparison of EMS and OEMs Providers
EMS | OEMS | |
Description | Provide Value Added Services along with Developing Products for OEMs | Market the Components or the products |
Rights | Do not own the Product Rights | They have all the rights to the product |
Focus | Provide supports for design creation, repair & supply chain management. They are famous for manufacturing some of the best products in the world. |
They majorly focus on the development of the product and innovative technology. |
Volume | Most of the manufacturers have specialized in one or two manufacturing environments. The level of technology complexity that they offer depends upon either model |
Some of them sell low volume, however, others do have the ability to manage medium volume production as well. |
Take Away
Technical electronic manufacturing services define the electronics industry. Therefore, it is important to reach out to only the best and the most reliable manufacturing services such as the 6-PCBA. We offer not only the highest standard but also diverse and versatile services.