Below are key title for electronics industry OEM hardware and equipment companies and how these roles each contribute to strategic planning and execution to better manage underperforming contract EMS manufacturing partners.
Purchasing managers
Purchasing managers leverage procurement expertise focused on cost efficiency and reliability. They do this by analyzing historical performance data to identify patterns of underperformance with EMS partners, such as delayed deliveries or cost overruns, and then follow up by incorporating stricter vendor evaluation criteria into the Company’s strategic plan. They also plan for diversified sourcing to mitigate risks of dependency on a single, underperforming EMS partners.
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In terms of execution to manage against underperformance, purchasing managers get involved in renegotiating contracts with underperforming EMS providers, identifying and setting clear cost and delivery benchmarks. If performance doesn’t improve they help initiate the transition to alternative EMS suppliers, ensuring minimal supply chain disruption by onboarding new EMS partners quickly.
Supply chain managers
In terms of EMS program and business planning, supply chain managers focus on end-to-end supply chain visibility and monitoring EMS partner performance through real-time data and KPIs like on-time deliveries and defect rates. They also strategize building resilient supply chains by identifying backup EMS providers and creating contingency plans for underperformance, such as maintaining buffer inventory.
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