Contract manufacturing
(noun)
a business model where a firm hires another firm to produce components or products
Examples of Contract manufacturing in the following topics:
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Contract Manufacturing
- In contract manufacturing, a hiring firm makes an agreement with the contract manufacturer to produce and ship the hiring firm's goods.
- A contract manufacturer ("CM") is a manufacturer that enters into a contract with a firm to produce components or products for that firm .
- In a contract manufacturing business model, the hiring firm approaches the contract manufacturer with a design or formula.
- Mutual Benefit to Contract Site: A contract between the manufacturer and the company it is producing for may last several years.
- Compare the benefits and risks of employing a contract manufacturer (CM)
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Modular Structure
- For example, a firm that employs contract manufacturing rather than in-house manufacturing is using an organizational component that is more independent.
- The firm can switch between different contract manufacturers that perform different functions; the contract manufacturer can similarly work for different firms.
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Outsourcing
- Outsourcing is the contracting of an existing business process to an external, independent organization.
- Outsourcing is the process of contracting an existing business process which an organization previously performed internally to an independent organization, where the process is purchased as a service.
- Contract manufacturers had to manage bills of material with different part numbering schemes from multiple OEMs and support customer requests for work -in-process visibility and vendor-managed inventory (VMI).
- The specialization model creates manufacturing and distribution networks composed of multiple, individual supply chains specific to products, suppliers, and customers who work together to design, manufacture, distribute, market, sell, and service a product.
- Outsourcing is the process of contracting an existing business process which an organization previously performed internally to an independent organization, where the process is purchased as a service.
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Logistics
- There is often confusion over the terms "supply chain" and "logistics. " It is now generally accepted that the logistics applies to activities within one company/organization involving distribution of product, whereas supply chain also encompasses manufacturing and procurement and, therefore, has a much broader focus as it involves multiple enterprises, including suppliers, manufacturers, and retailers, working together to meet a customer's need for a product or service.
- Companies also outsource production to contract manufacturers.
- Inbound logistics is one of the primary processes of logistics, concentrating on purchasing and arranging the inbound movement of materials, parts, and/or finished inventory from suppliers to manufacturing or assembly plants, warehouses, or retail stores.
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Classifying Business Products
- In the case of some manufacturers, business products are their entire focus.
- Manufactured products are those that have undergone some processing.
- There are a number of specific types of manufactured industrial goods.
- Parts are manufactured items that are ready to be incorporated into other products.
- Because the need for services tends to be unpredictable, they are often contracted for a relatively long period of time.
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Business Products
- Manufactured products are those that have undergone some processing.
- The demands for manufactured industrial goods are usually derived from the demands for ultimate consumer goods.
- There are a number of specific types of manufactured industrial goods.
- Parts are manufactured items that are ready to be incorporated into other products.
- Because the need for services tends to be unpredictable, they are often contracted for a relatively long period of time.
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Joint Ventures
- Sony Ericsson is a joint venture between Swedish telecom corporation Ericsson and Japanese electronics manufacturer Sony to develop cellular devices.
- A consortium JV (also known as a cooperative agreement) is formed when one party seeks technological expertise, franchise and brand-use agreements, management contracts, and rental agreements for one-time contracts.
- Sony Ericsson is a joint venture between Swedish telecom corporation Ericsson and Japanese electronics manufacturer Sony to develop cellular devices.
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Early Textile Manufactures
- He was able to promise, "If I do not make as good yarn, as they do in England, I will have nothing for my services, but will throw the whole of what I have attempted over the bridge. " In 1790, he signed a contract with a Brown to replicate the British designs.
- Though financially unstable, the Manufactory served as a playground of innovation and developed a water-powered milling structure used by later manufacturers.
- He memorized the design of textile machines, and on his return o the United States, he established the Boston Manufacturing Company .
- Most laborers in this industry were women, though textile manufacturers frequently employed children as well.
- Describe the technological and social innovations of the early American textile manufacturers
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Types of Muscle Contractions: Isotonic and Isometric
- Muscle contractions are defined by changes in the length of the muscle during contraction.
- Several types of muscle contractions occur and are defined by the changes in the length of the muscle during contraction.
- A concentric contraction is a type of muscle contraction in which the muscles shorten while generating force, overcoming resistance.
- A yielding contraction occurs when a muscle contraction is opposed by resistance.
- An overcoming contraction occurs when a muscle contraction is opposed by an immovable object, such as the contraction generated in the muscles when pushing against a wall.
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Special topic: supply chain management
- In the manufacturing sector, supply chain management addresses the movement of goods through the supply chain from the supplier to the manufacturer, to wholesalers or warehouse distribution centers, to retailers and finally to the consumer.
- For example, a retail store that sells electronic products may contract with an outside business to provide installation services to its customers.