HOME  |  NEWS  |  BLOGS  |  MESSAGES  |  FEATURES  |  VIDEOS  |  WEBINARS  |  INDUSTRIES  |  FOCUS ON FUNDAMENTALS
  |  REGISTER  |  LOGIN  |  HELP
Feature
Automation & Control

When Does a Custom Assembly Make Sense?

NO RATINGS
Page 1 / 2 Next >
View Comments: Newest First|Oldest First|Threaded View
Cabe Atwell
User Rank
Blogger
Re: Cost and IP
Cabe Atwell   1/20/2014 5:38:30 PM
NO RATINGS
Could these definitions apply to fast prototyping as well in order to get the product mass produced?

notarboca
User Rank
Gold
Re: Cost and IP
notarboca   11/30/2013 8:27:28 PM
NO RATINGS
From the article: "Next, work on clearly defining the role of the vendor in R&D, Beta start-ups, production, etc., so there is no mystification of roles."  I agree, Nancy, sometimes these definitions are either overlapped or forgotten in the grand scheme of things.

Nancy Golden
User Rank
Platinum
Re: Cost and IP
Nancy Golden   11/24/2013 6:06:45 PM
NO RATINGS
"Minimum order quantities also must be considered because many suppliers will only take on a new custom assembly when  quantities are large enough to work with their business model create a quick payback."

Very good point - When a minimum can't be met but for whatever reason, a custom assembly is required, flat fee-based services may be preferable (or even if the minimum can be met). This would eliminate the need to be concerned about who owns the IP as well. And as the article states - it is a very good idea to define the roles of all participants up front.


Greg M. Jung
User Rank
Platinum
Cost and IP
Greg M. Jung   11/16/2013 8:00:39 PM
NO RATINGS
I do agree that in many cases, partnering with a supplier to produce a custom assembly makes sense (especially in the case of motors).  However, outsourcing custom assemblies also has its own set of unique issues that must be considered.

Agreements have to be worked out up front on who will own the IP (intellectual property).  Otherwise, if the supplier owns that IP, they may continue to raise costs every year (because they know they have a monopoly on this design).  Minimum order quantities also must be considered because many suppliers will only take on a new custom assembly when  quantities are large enough to work with their business model create a quick payback.  High mix/low volume product lines do not easily lend themselves to custom assembly by suppliers.

Partner Zone
Latest Analysis
Self-driving vehicle technology could grow rapidly over the next two decades, with nearly 95 million “autonomous-capable” cars being sold annually around the world by 2035, a new study predicts.
MIT’s Senseable City Lab recently announced the program’s next big project: “Local Warming.” The concept involves saving on energy by heating the occupants within a room, not the room itself.
The fun factor continues to draw developers to Linux. This open-source system continues to succeed in the market and in the hearts and minds of developers. Design News will delve into this territory with next week's Continuing Education Class titled, “Introduction to Linux Device Drivers.”
Dean Kamen tells an audience at MD&M East 2014 how his team created the DEKA Arm to meet DARPA's challenge to design a better prosthetic arm for wounded veterans.
The new draw-it-on-a-napkin is the CAD program. As CAD programs become more ubiquitous and easier to use, they have replaced 2D sketching for early concepting.
More:Blogs|News
Design News Webinar Series
7/23/2014 11:00 a.m. California / 2:00 p.m. New York
7/17/2014 11:00 a.m. California / 2:00 p.m. New York
6/25/2014 11:00 a.m. California / 2:00 p.m. New York
5/13/2014 10:00 a.m. California / 1:00 p.m. New York / 6:00 p.m. London
Quick Poll
The Continuing Education Center offers engineers an entirely new way to get the education they need to formulate next-generation solutions.
Aug 4 - 8, Introduction to Linux Device Drivers
SEMESTERS: 1  |  2  |  3  |  4  |  5  |  6


Focus on Fundamentals consists of 45-minute on-line classes that cover a host of technologies. You learn without leaving the comfort of your desk. All classes are taught by subject-matter experts and all are archived. So if you can't attend live, attend at your convenience.
Next Class: August 12 - 14
Sponsored by igus
Learn More   |   Login   |   Archived Classes
Twitter Feed
Design News Twitter Feed
Like Us on Facebook

Sponsored Content

Technology Marketplace

Copyright © 2014 UBM Canon, A UBM company, All rights reserved. Privacy Policy | Terms of Service