Background

As the pressure to cut overhead costs increases, more and more companies are implementing outsourcing strategies to focus on "core" activities. Still, effective outsourcing can be highly complex and determining one’s core competencies is not just a one-time decision process.

For OEMs the challenge lies in figuring out what to farm out, how to select the best provider(s), how to oversee outsourced relationships and protect IP. Conversely, contract designers and manufacturers require clear directives, ongoing contact with the OEM and the ability to use their expertise to get the job done and cultivate a long-term partnership.

Working effectively together, contractors and OEMs can reap mutual profit and create products that customers really want. Learn how to implement key factors for making these partnerships work including how to:

• Select the right partners and accurately assess
  their core competencies
• Build a seamless transition from inside providers to outside providers
• Create metrics to measure the effectiveness of outsourcing and calculate actual cost savings
• Support outsourced relationships with infrastructure, guidelines for sharing information and appropriate levels of in-house expertise
• Develop a properly structured contract that
  clearly outlines project parameters/deadlines, IP rights and allows for midstream updates

Management Roundtable’s conference on Outsourcing Design and Manufacturing, November 6 –7, 2002 in San Diego, CA will offer a unique forum for OEMs and contractors to discuss the latest trends, methods and strategies to make outsourcing a win-win arrangement for all parties.