Regards
Primadi

Best Regards,
Primadi

I suspect that your company functions as both a Contract Manufacturer (CM) and as an Original Design Manufacturer (ODM).

If I am a customer and want to buy one of your products but put my brand on it, you are an ODM to me.

If I am a customer and want you to manufacture the product that I designed according to my specifications, you are a CM to me. You are functioning as my outsourced factory.

It is not uncommon for firms to serve both roles depending on what the customer needs.

Good luck. Please send me a link when you get your site created. I would like to see what you have come up with.

Regards,
Mark

1) Consigned Assembly (to describe No. 1 and 2 in my beginning post)
2) Turnkey Assembly (to describe No. 3)
3) End-to-End Design and Manufacturing (to describe No. 4)

Is it correct?

And then, in term of our company role, what is the corect terminology for our company in respect to above three services?

1. …? (Is it Contract Manufacturer or Manufacturing Service Provider?)
2. …?
3. ODM (Original Design Manufacturer)

Thanks & Best Regards
Primadi

As for your question about customers buying your products but private labeling them, there is a term for this. The term is Original Design Manufacturer (ODM). That is definitely the term I would use for that business approach. Wikipedia has a good article on ODM:

http://en.wikipedia.org/wiki/Original_Design_Manufacturer

A lot of people will do internet searches to find ODM suppliers for their particular needs. For example, they might Google:

ODM TV stands

Some firms refer to their offering of design and manufacturing as “cradle-to-grave” services. Others call it “end-to-end” design and manufacturing.

Regards,
Mark

The design service that we offer is product design service. (Is it “product design service” a correct terminology?) We also have customers who buy Color TV and TV Stand that is completely design by us, but using their brands.

By the way, is there a terminology for complete service no. 4 which combine both assembly and product design service?

For your information, our company is very strong in LCD/Plasma TV Stand design and manufacturing. We have buyers from Canada, France, Netherland, England, Australia, Japan and many other countries in Europe and Middle East. But, until now, after more than 20 years doing TV stand business, we don’t have cutomers from USA for this product. If you are interested to market our services, please contact me by email. After some discussions, I will pass your message to our marketing manager.

Best Regards
Primadi W.

However, it probably makes sense to have a section of your website where you highlight the strengths of your company with regard to import, export, and logistics. If this is a strength, it should be featured. Potential OEM customers will want to know of your capabilities to work with customs on both incoming goods as well as outgoing products.

I hope this is helpful.

Thanks for the clarification. What I am going to recommend is based on Baselodge Group’s activity of selling manufacturing services primarily to the US market. In other target countries, or in countries where English is a second language, it is possible that my recommendations may not clearly communicate your services. With that disclaimer, let me offer my ideas:

“Assembly” implies labor, factory, equipment, material procurement, process, quality systems, and technical competence. From your description it seems that you do both mechanical assembly and electro-mechanical assembly. The raw materials and/or components for assembly into the final product can be consigned (and paid for) by your OEM customer or they can be procured (and paid for) by you. In the first case we would refer to the assembly as a “consigned assembly.” In the second case we would refer to the assembly as a “turnkey assembly.” In some cases you may do a little of both. In this hybrid example you might do all procurement for all items on the Bill of Material (BOM) except for a custom part that the OEM ships directly to you. I do not believe this hybrid example needs to be broken out on your website or in your sales literature. It is implied by the capability to do both consigned and turnkey builds.

I am still not clear if you do printed circuit board assembly (PCBA) in-house. I do not think that you do. If you do have your own PCBA lines in house, I would break that out as a separate service offering under “Assembly Services,” but assuming that you do not, here is the way I would advertise your services:

1. Assembly Services

a. Mechanical Assembly
b. Electro-mechanical Assembly
c. Sub-assemblies & system integration (box-build)
d. Consigned Assembly
e. Full turnkey Assembly

2. Design Services

a.
b.

I am not clear on your design capabilities, but here I would communicate your capabilities like complete product design, electrical design, mechanical design, design for manufacturability (DFM) review, UL certification, other agency certification, etc. If you do not possess these services in-house, you can list what you do offer in-house and then mention the services that you may offer through relationships with third-party firms, if any. I would not name those third-party firms, but I would detail the services you offer through them.

Of course, each of these categories above will need to be expanded upon and explained in detail on their respective web pages. Don’t forget to proudly display any and all certifications your factory holds like ISO 9001:2000.

As a reminder, Baselodge Group is a manufacturers’ representative selling the manufacturing services of our suppliers primarily in the states of Texas, Oklahoma, Arkansas, Louisiana, and New Mexico in the USA. We use the acronym “EMS” to generally indicate that we offer Electronics Manufacturing Services. That is a rather broad category that includes not only PCB assembly, but mechanical assembly, electro-mechanical assembly, tooling, molding, casting, etc. Some firms that offer assembly of products that are not primarily “electronic” in nature may choose not to use the acronym EMS. There are times that it may not be the best choice for some of our customers, but we are somewhat constrained by language.

I hope this response is helpful. Please do not hesitate to follow up if you have additional questions.

Regards,
Mark

Our company is located in Indonesia and producing color TV, TV stand, and audio cassette tape for our OEM customers, like Maxell (audio cassette tape), Hayami Corp (for TV Stand), and Philips (for LCD TV). All overseas companies.

For Maxell, we provide service No. 4.

For Hayami, No. 3. It means, Hayami provide TV Stand design. We procure the material (local and import) with our fund, and of course, also import the material for imported parts. And, assembly the product.

For Philips, we provide No. 2. It means, we only do the import of material (administration and handling process only) and assembly/produce the product. Philips appointed and pay the supplier for material. In this case, all materials are imported.

For some of our customers, we only provide assembly / processing / production service only. (No. 1).

Based on above current experience with our existing customers, my boss asked me to make those 4 menus in our home page. Of course our target audience is new OEM customers.

Awaiting your reply.

Best Regards
Primadi

First, your terminology is going to depend on who your target audience is. Where is your firm based, and who is your target audience?

Second, by “assembly” does he mean electrical assembly (PCBA), mechanical, electro-mechanical, or some other type of assembly?

I also need to understand the difference between “material procurement” and “material import.” In my experience, the procurement department takes action to ensure that all necessary raw materials and components are purchased and available at the start of a product build cycle. The purchasing is done form both domestic and non-domestic supply sources. The non-domestic sources require import. In this sense, if we are speaking of the procurement of raw materials and components, “material import” would be a subset of “material procurement.” Perhaps, however, your boss means something different by these two terms. A clarification will be helpful.

When I get your response, I will be glad to offer my understanding of the terminology that would best communicate your services to your audience.

Thanks for your questions.