How to Get The Best Deal in Contract Manufacturing

from industryweek.com

The contract manufacturing industry is selling itself short by not leveraging the benefits strategic sourcing has to offer, such as obtaining top-quality resources, turning fixed costs into variable costs and increasing controls over unit pricing. Currently, the contract manufacturing industry remains largely focused on cost-plus or rate-of-return models — resulting in negligible strategic benefit. By employing strategic outsourcing principles, the contract manufacturing industry’s customers and vendors will be able to realize true business improvements that bolster both the success of their business and the industry as a whole.

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