contract manufacturer

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contract manufacturer

An organization that makes products under contract for other companies. It caters to the OEM market. In the computer and electronics fields, thousands of products are manufactured by contract manufacturers. These products are ordered by and branded with the OEM's name, which sells them to its customers.

Contract Manufacturers Can Be Huge
Some of the most popular products in the business are made by contract manufacturers. For example, Microsoft's Xbox game machine is made by Flextronics Corporation (www.flextronics.com), a huge company with factories around the world and nearly USD $15 billion in sales in 2004. Flextronics also makes cellphones for Ericsson, routers for Cisco and printers for HP. Other major contract manufacturers are Flextronics International (www.flextronics.com), Sanmina-SCI Corporation (www.sanmina-sci.com) and Celestica (www.celestica.com).

The ODM
An "original design manufacturer" (ODM) is similar to a contract manufacturer, but typically owns the intellectual property (IP) for the product itself, while the regular contract manufacturer uses its customer's designs and IP. Contract manufacturers can make hundreds or even thousands of different products, but ODMs often specialize in only a handful of categories.

EMS and CEMS
Contract manufacturers in the electronics field that not only make products, but offer assistance with the design and supply chain generally prefer to call themselves "electronics manufacturing services" (EMS) or "contract electronics manufacturing services" (CEMS). See OEM.
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For more than 30 years, the company has offered contract manufacturing services that today comprise biologies, potent, drug product, fermentation, prefilled syringe manufacturing and hot melt extrusion, as well as selling high-quality active pharmaceutical ingredients (APIs).
The biggest benefit for an OEM is that contract manufacturing enables it to reduce its time-to-market, increasing its chances of making a profit.
This growth results from the underlying growth in the biopharmaceutical market, expansion of services offered by fill-and-finish contract manufacturing organizations and the greater use of contract manufacturing organizations by pharmaceutical and biotechnology companies.
com/research/a59ad0/indian_contract_ma) has announced the addition of the "Indian Contract Manufacturing - A Hot Opportunity" report to their offering.
The contract manufacturing segment is expected to see tremendous growth, as companies are looking to reduce costs and serve new, emerging markets.
This 300-page report documents current industry price and contract practices for biopharmaceutical contract manufacturing.
com/research/db699f/global_contract_ma) has announced the addition of the "Global Contract Manufacturing Market Analysis" report to their offering.
Pharmaceutical Contract Manufacturing and API Sourcing in Central and Eastern Europe 2009
com/research/ce7129/pharmaceutical_con) has announced the addition of the "Pharmaceutical Contract Manufacturing and API Sourcing In Central and Eastern Europe 2009" report to their offering.
Pharmaceutical Outsourcing Opportunities Post-Launch: Contract Manufacturing and Contract Sales and Marketing, 3rd Edition
com/reports/c50840) has announced the addition of Mio Technology Limited: 2006 Contract Manufacturing Profile to their offering
The demand for biopharmaceutical contract manufacturing services continues to expand as pharmaceutical and biotechnology companies increasingly rely on contractors to provide more production capacity and a wider range of services.

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