Benefits consolidating vendors

Benefits consolidating vendors

There is a new kind of relationship between parts suppliers and original equipment manufacturers (OEMs).

For example: The office services team is leasing copiers from a copier manufacturer, and is working with a “copier rep” who is constantly selling the latest and greatest equipment and services that have all the bells and whistles that will of course save them money!Often the component supplier is able to provide technical expertise to the OEM’s design engineers and develop and supply customized modules, providing a wide range of performance, size, and I/O options.This is the new best practice for medical and industrial device development and manufacturing, reducing costs and improving product design efficiency.Often OEMs need to buy a specific component from one supplier before they can specify the associated components and parts from another. A single part number for purchasing, manufacturing, and tracking simplifies the product qualification and manufacturing processes.Potential points of failure decrease when a tested and warranted subassembly eliminates much of the engineering to integrate components from various suppliers. The component supplier and OEM can collaborate across the design process as needed.

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Increased purchasing power allows companies to amalgamate their volumes together, and maximize pricing.

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