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Is PCB assembly really the best entry point for outsourcing?
Therefore, if you decide to outsource starting from PCBA, we recommend that you consider a wider range when researching potential partners. You need to be sure that they can meet your current needs and those that may arise in the future.
Have you considered outsourcing printed circuit board assembly (PCBA)? Perhaps you want to free up more time to focus on designing, marketing, and selling your products? If so, you may be looking for an electronics manufacturing services (EMS) provider who can handle this manufacturing for you.
However, we ask: Are you sure? Or rather: Are you really only looking to go so far down the outsourcing road?
PCBA is widely considered a safe entry point for outsourcing electronics manufacturing. Broadly speaking, the process is well-defined, and there are numerous suppliers specializing in this service. However, as an original equipment manufacturer (OEM), you will enjoy more benefits if you hand over more responsibilities to your assembly partner. This may be a daunting prospect if you are outsourcing once, but let's consider the advantages of further development.
Outsourcing your PCB Assembly
One step in outsourcing PCBA is to hand over the responsibility for obtaining the materials specified on the bill of materials (BOM) to the EMS provider. As part of this process, you will of course need to verify the quality of the EMS provider's supply chain. Your partner will then work to ensure consistent procurement of the relevant electronic components, liaising with their own suppliers to establish stocking agreements. You should also check what measures the EMS company has in place to prevent defective and counterfeit materials.
Once these supply chain elements are in place, your partner will assemble the PCBA for you.
So far, so good: By outsourcing your PCB assembly, you free up time and resources to shift your attention elsewhere. However, the PCBA is only one component in your final product – be it box build, control panel, or mechatronic assembly. Therefore, once your EMS partner delivers the completed board to you, you still have a lot of work to do.
Firstly, you will still need to procure any custom or drawing products and a range of other materials, while taking steps to verify the supply chain and check procurement. Secondly, you will need to retain several operators to complete the final assembly, along with the associated equipment, tools, and documentation. While your EMS provider may have already tested the PCBA (e.g., using in-circuit testing or flying probe testing), the final assembly will still need to undergo thorough testing. You will still be responsible for shipping. This therefore includes storage, picking, packing, processing, and arranging couriers, steps which, combined with these other steps, still require significant resources and time. This begs the question: How much time has your company saved?
In many ways, outsourcing only the PCBA is no less effort than outsourcing the entire product. In both cases, you need to go through a lengthy process to ensure you choose the right partner, one that can produce the quality product you need, when you need it, and meet customer expectations. Therefore, outsourcing the entire manufacturing process, rather than just a part of it, is a wise move. Obviously, this requires a greater degree of trust, but the resulting benefits are not to be underestimated.
Choosing your EMS Partner
The extent to which you decide to outsource will also have a significant impact on your choice of EMS provider. Since many providers only focus on PCB assembly, you may inadvertently narrow down your list of potential partners by focusing your search entirely on this service. In the long run, this can create problems. For example, if you later decide to outsource more manufacturing, testing, and outbound logistics, you have one of two choices: work with two EMS providers simultaneously or change providers. Neither option is ideal. One means having to cultivate two relationships, the other means effectively starting your outsourcing journey from scratch.
Therefore, if you decide to venture into outsourcing starting with PCBA, we recommend that you consider a broader scope when researching potential partners. You need to be confident that they can meet your current needs and those that may arise in the future.
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