* Solectron announced COO Marc Onetto is leaving the Company. Having come from GE which had developed a reputation for lean operating principles within its supply chain, part of Mr. Onetto’s charter with Solectron was to help transform Solectron’s factories using the fundamentals of the Toyota production system. Solectron has been wrestling with industry-low operating margins for some time. (Marc Onetto was a VO feature interview May ’05)
* Jabil Circuit recently indicated acquisitions in the US$200 to $300 million range could take place over the next few years. Organizations located in countries where the Company can enhance supply chain logistics seem to be most attractive. The Company indicated it would not be interested in moves that may make its virtual model more vertically integrated.
* Foxconn’s handset business gains momentum. Two major, existing customers are expected to contribute additional Company revenues as the year progresses. Foxconn’s unrivalled vertically-integrated model has been difficult to duplicate.
* Sanmina-SCI remains focused on driving growth – primarily within its general EMS and components businesses. The Company is planning on deepening its ODM efforts and ramping an AMD-based server for OEMs later in the year.
* Nam Tai Electronics recently reported industry-high operating margins just topping 6%. The Company has several contracts already won which, when ramped later this year, could cause slight adverse affects to margins while the Company executes to make these programs become more efficient.
VentureOutsource.com, June 2006
Get list of EMS manufacturers for your requirements (Its free)
Save time and money. Find quality EMS manufacturers. Fast. Venture Outsource has a massive, global database of contract electronic design and manufacturing capabilities. Speak with a Provider Advisor.
“Was able to very quickly find details on the important elements of setting up EMS and ODM partnerships, talked with an advisor for personalized info on quality providers matching our requirements while getting up to speed quickly about the industry and connect with key staff from like-minded companies and potential partners. Great resource.”
— Jeff Treuhaft, Sr. Vice President, Fusion-IO
Advisors tell you matches we find for your needs, answer your questions and, can share EMS industry knowledge specific to your industries and markets.
