How EMS Providers can Choose the Right OEM Lead

 In Blog

EMS providers often work with multiple OEMs at a time and work on mass-producing multiple original products. To work at full capacity, EMS providers often have to seek out new OEMs with new projects. Many considerations then go into choosing the right OEM provider for an EMS organization. Today’s blog will talk about the major concerns an EMS supplier must consider when choosing a new OEM partner.

Match Your Markets

The first thing any EMS provider needs to look for when choosing an OEM lead to work with is whether their markets match. A bit of research can usually reveal what sort of markets and industries the OEM is looking to sell into, and more importantly, if that industry is one the EMS covers.

Most EMS providers have a list of industries and sectors that they have experience working with. Most EMS suppliers will specialize within the sectors they have experience with and rarely take up projects outside. When looking for new partners, make sure they’re on the list of industries you can work with.

Financial Stability & Track Record

A very important consideration is the financial security of the OEM you’re working with. While the risk of fraudulent partnerships isn’t as big a threat, making sure the OEM you’re working with can afford the project until completion. Run credit checks on companies you’re considering as a partner. Probe into any anomalies to ensure the OEM can be relied on to see the project through.

Green printed circuit board with gold circuits

Splitting Responsibilities

How supply chain responsibilities are split between OEMs and EMS providers is an important discussion to have before finalizing a partnership. Parties should be clear on the division between raw material provisions, blueprint creation, and design engineering.

Depending on the OEM service you plan on partnering with, you should gauge whether the services they require are ones that you can provide. Consultations with the OEMs on their expectations from the partnership and what you can realistically offer them from your end.

If you’re an EMS provider looking for new OEM leads, consider joining our online platform to facilitate OEM and EMS provider partnering; Find an EMS. Our website serves as a form of social media specialized for OEMs and EMS service providers to connect and create new business partnerships. Contact our team to get started today!

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