PEKO Precision Products

3 "MORE" Things you'll see in a High End Contract Manufacturing Plant

Posted by Scott Baxter on Feb 7, 2018 9:50:19 AM

Never Stop Getting Better!

Machinery Contract Manufacturing

Two years ago, we made this post letting our customers know about 3 important things to look out for in a great contract manufacturing facility.  As time went on, our customers and prospective customers have pointed out some things that they loved about our facility and even some improvements that could be made.   All CM's should be striving towards operational improvements.  It is our duty to apply the same vigor to our process improvements that our OEM customers do.   Today I will point out 3 more important attributes of highly successful and competent Contract manufacturers.


1. Top Down management commitment

Every successful CM has a management team that is 100% committed to their processes and people.  At the highest levels, visibility and KPIs are managed to ensure customer requirements are aligned with operational capabilities.  An agile Program Management team that is empowered move product through the facility with the manufacturing teams is a very important asset.  These Managers are the tactical advantage for CEOs and VPs above them.  By aligning the roles and responsibilities of these management members, communication is quick and effective.  The customer benefits by building personalized relationships with key internal personnel and by association is given a high level of product and manufacturing visibility for their product.

2. highly trained workforce

One very important thing to remember in 2018 is that manufacturing companies have taken a difficult hit over the past 20 years.  With economic prospects looking good for manufacturing,  there is an enormous advantage for OEMs that choose a CM with a highly trained workforce.  The manufacturing skills needed for successful large programs take years to cultivate.  A great CM has a history of training and retaining their internal labor so when a new program comes alive, they are ready and able from the onset.  This fact can go overlooked during decision making process when choosing a new CM, but it is immediately felt when the manufacturing tasks get tough.  Great people do not grow on trees and a supplier that is prepared is a supplier that will be successful.

contract manufacturing large equipment

3. quality and process controls

In the world of Contract Manufacturing, it is said that Quality and Delivery are a given.   Of course we all know it is easier said than done.  When you look at the landscape of CMs, you'll find an extremely wide range of capabilities and process controls.  Look even deeper and you'll see an even larger range of Quality and Delivery scores from their customers.  Great CM's don't operate by the seat of their pants.  They take their years of experience, successes and even failures and create new and better systems.  These Quality and Process Control systems help to manage new and complex programs.  By wrapping a complex product in the arms of a robust Quality System, great products can be built from the ground up repeatably and reliably.  Most OEMs know this type of reliable system is exactly the difference between a great CM and one that is not yet up to par.  

Contract Manufacturing Wrap up:

When choosing a CM, most OEMs will take tours of a few good candidates.  The list above provides a small insight on what types of things to look out for when touring these facilities.  By understanding these variables and why they are important, OEMs can compare and contrast to make the right decision.  They can also see why not all Contract Manufacturing companies are not the same and what it will mean to their product at the end of the day.  For more information on outsourcing your product manufacturing or to schedule a tour, contact me at or simply click below and fill out a form.

contract mfg tour


Topics: Contract Manufacturing, Contract Assembly