Loss of affectivity of the business development and/or program management function is usually the first and best indication of relegation which is an option of last resort for the EMS company.
If you’ve never worked in outsourcing, take it from me – outsourcing is hard work. It doesn’t matter if you work for the buyer or seller, or a supplier of parts or services - outsourcing is hard work. And in my humble opinion the people who make their living doing the work of outsourcing are some of the most dedicated yet least appreciated people in the electronics industry.
There's nothing better than a good story to help illustrate a concept, and that's what CBA's case study approach to data analysis accomplishes. Outsourcing is a highly complex activity, usually involving multiple geographies and corporate entities, and there are an almost infinite number of permutations among type of end product, market, suppliers and technologies.
Business is an inherently risky proposition and today’s maximum velocity business models based on complex, highly leveraged solutions make the situation even more perilous. Never the less, the trend is clear – electronic product companies (or OEMs) continue to outsource more functions, more often, to more geographically remote locations than ever before. Why do they do this?