8 subjects you need to know about contract manufacturing - entrepreneurship 101

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8 Subjects you need to know about

Contract Manufacturing

Harvey Coleman

D E C E M B E R 2 0 1 5 # E N T 1 0 1



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•  Make or Buy

•  MVP

•  Design Package •  CerMficaMon •  Packaging •  LogisMcs •  Targets

•  Control

ConsideraMons

December 2015 #ENT101



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What to “Make or Buy”




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•  What is it?

•  Ries/Blank •  CAD

•  Rapid prototyping •  Metrics -‐ Assembly Mme, weight, volume etc

•  Crowd funding •  Control •  Designer

Minimum Viable Product




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•  Program Manager

•  Freeze

•  Design drawings •  Overall dimensions (Size + Weight)

•  Tolerances

•  Ownership •  CAD/AnimaMon

Design Package


•  ProducMon process

•  Component materials

•  Duty cycle/MTBF

•  Bill Of Materials

•  Assembly instrucMons/

Training

•  QA/TesMng

•  Inventory control



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•  Talk with people with manufacturing experience.

•  Create a list of 5 to 10 potenMal partners. •  Narrow it down to about 3 partners. •  Create a Design package.

•  Visit •  Analyze responses. •  NegoMate. •  Get customer references

•  Select a partner

Finding a Manufacturing Partner




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•  InternaMonal •  Electrical •  Mechanical Standards/Health Safety

•  Factory – ISO9000, Hazmat etc

CerMficaMon




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•  Purpose •  Design issue •  Languages •  Self assembly/Nest/InstrucMons

•  WarranMes/CerMficaMons

•  PrinMng/Labels/Lot nos./Serial Nos./Added where •  Checking/Graphic

Packaging




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•  From Factory to User

•  Get ALL to the port •  Shipping, duty, VAT etc •  Warehousing/ Inventory control system

•  Delivery •  Back Office systems

•  RMA system

LogisMcs




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•  Costs •  Lead Mmes

•  Terms and CondiMons

–  Up front payments

–  WIP

Targets




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•  Make – All or part •  Sub contractor(s)

–  SelecMon/MulM-‐source?

–  Experienced Project Manager

•  Where/Stage

•  Local sub-‐contract –  Own assembly –  Part of process –  Turnkey, but …

•  SE Asia –  Organize yourself –  Third party on the ground

Control




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Get Advice The Power in Numbers

hco leman@marsdd . com

THANK YOU!



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Visit us at marsdd.com December 2015 #ENT101

8 subjects you need to know about contract manufacturing - entrepreneurship 101

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