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Frequently Asked Questions

What services do electronics manufacturing services (EMS) or contract electronics manufacturing services (CEMS) provide?

Electronics Manufacturing Services (EMS) or Contract Electronics Manufacturing Services (CEMS) are specialized services provided by contract manufacturers in the electronics industry. These services extend beyond just manufacturing products; they also assist with the design process. The EMS or CEMS essentially act as the manufacturing facility for the hiring agency, producing and transporting goods according to the design provided by the hiring agency. The process begins with the contract manufacturer providing a quote for the components based on processes, labor, tooling, and material costs. The hiring agency may request quotes from multiple contract manufacturers and, after a bidding process, selects a source. For the agreed-upon cost, the EMS or CEMS then produces the product, adhering strictly to the design and specifications provided by the hiring agency. The benefits of using EMS or CEMS are numerous. Companies can save on capital costs as they do not have to invest in a manufacturing facility or equipment. They can also save on labor costs such as wages, training, and benefits. Additionally, contract manufacturers often have their own quality control strategies in place, which can help detect counterfeit or damaged supplies early. This allows the hiring company to focus on expanding their core competencies while the manufacturing is handled by an external firm.
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