In this article, I will explore a real example with concrete benefits for an outsourced production model.
Embracing a build-to-print manufacturing model offers businesses a strategic advantage in today's dynamic marketplace. It offers a streamlined approach, allowing businesses to outsource production based on provided specifications. This model presents a multitude of advantages, from cost-effectiveness to scalability. However, to fully harness its potential, companies must adhere to certain principles and best practices.
Fluent communication and quality assurance are key for assuring a proper collaboration. In this regard, a Service as a Service (SaaS) solution hosted in the cloud stands as a beacon of efficiency and agility, supporting the interaction between the OEM and its manufacturers in an agile and efficient way-of-working.
In this example (see picture), the OEM has its own production site, but also Tier 1 manufacturers geographically distributed.

When the OEM sends a Purchase Order (PO) to the platform, it addresses the right Tier 1 manufacturer. In this sense, Tier 1 can subsequently interact in the same way with Tier 2 and Tier 3 suppliers.
Advantages of Build-to-Print Manufacturing Model
The full power of this solution not only assures effective communication, but also enables a digital interchange of CAD drawings, material requirements, tolerances, and quality standards, the so called As-Build documentation. This not only streamlines the process but also enhances the quality and precision of the production.
Additionally, the Tier 1 manufacturer must interact with the platform by adding production milestones. This will be crucial for the OEM to ramp up the real product delivery time and compare it to the planned product delivery time, avoiding end users' penalties.
In conclusion, by prioritizing clear communication, quality assurance, flexibility, supply chain optimization, risk management, and collaborative partnership, OEMs can unlock unparalleled efficiency and value for their clients.
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