OEM


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OEM

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OEM

(Original Equipment Manufacturer) The rebranding of equipment and selling it. The term initially referred to the company that made the products (the "original" manufacturer), but eventually became widely used to refer to the organization that buys the products and resells them. However, the reseller is often the designer of the equipment, which is made to order. Many of the largest PC vendors are OEMs, including HP, Dell and Lenovo. Essentially, any PC company that does not have its own manufacturing facilities is an OEM.

Added Value or None
The OEM often does not add anything to the equipment and merely brands it with its own logo. The OEM's name is either placed on the devices by the contract manufacturer that makes the equipment or by the OEM itself. However, OEMs may indeed add value. For example, a "value added reseller" will purchase a computer, add its own software and/or hardware and sell it as a turnkey system. See VAR and turnkey system.

There are numerous companies that specialize in OEM manufacturing and never sell anything under their own brand (see contract manufacturer). Many companies do both. They manufacture and sell retail, but also have a separate OEM division for goods that are private labeled.
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References in periodicals archive ?
To provide users with the opportunity to gain a comprehensive understanding of the global Automotive OEM Coatings Market, we have performed an in-detailed value chain analysis.
Rhoads: Every OEM seems to have their own method of evaluating this but it boils down to capacity and capability.
Both companies will operate as ZRODelta, with OEM production and sales falling under ZRO OEM Services.
Considering that this shift in the OEM business is still only in its earliest stages, there are no specific OEM industries moving toward this model as a whole, but most adopters tend to be OEMs outfitting their installed base with sensors based on their "intimate knowledge of their own products" and how they're being used.
OEMs can more proactively assist CPGs with the solutions they're seeking both upstream and downstream from processing and packaging.
Sullivan also noted that OEM Solutions customer consolidation could result in "customer conflicts" with Symmetry Surgical as a reusable general surgical instrument company.
Similar to the first example, the OEM formulated a team to visit the Mikrotech facility and perform an informal audit.
As the field levels out, suppliers have more choice of which OEMs they want to work with.
VERICOM also assists in the fulfillment of OEM sales with a variety of custom packaging options that are available.
In response, a lesser-known category of OEM focused portable memory systems is providing alternatives that meet requirements unique to non-consumer embedded designs.
Today, many leading contract manufacturing companies have moved to strategies focused on specific types of products or market sectors in order to provide more value to OEMs. One of the keys for a successful partnership is choosing a contract manufacturer (CM) that matches with the OEM's product or market sector.
Maybe you work for an OEM that is looking to source mold parts at an overseas "low-price" supplier.