OEMs see outsourcing as a means to cut overhead costs, but at the risk of compromising part quality, timely delivery and meeting exact product design requirements. This video explains why OEMs' aversion to outsourcing their metal fabrication is not only off base, but could prevent them from ever reaching their full manufacturing potential.
This video covers several positive attributes of contract manufacturing, including:
Combating product demand variability
Overhead cost savings
Cross-pollination of industry best practices