Research And Markets Research And Markets
0 CHECKOUT

Contract Manufacturing Market Strategies And Forecasts 2002-2007

  • ID: 34179
  • January 2002
  • Region: Global
  • 300 pages
  • Wintergreen Research, Inc
1 of 3

Outsourced manufacturing is characterized by low margins. Contracts are won by achieving low prices and high volume, not high margins. The corporate culture is driven by a concern about control of costs at every level of the organization. In this manner, contract manufacturers are able to take over existing factories and run them more efficiently than the previous owners.

Contract manufacturers depend on a highly skilled workforce and unique culture. These factors represent a distinct competitive advantage and are fundamentally important to achieving strategic objectives. Contract manufacturers are really able to deliver products more efficiently than other companies because of these factors. The business is like running football teams. Team spirit plays a considerable role in the success of the organizations.

Through innovative compensation and broad-based employee stock ownership, outsourcing companies have developed an entrepreneurial, participative, and team-based culture, which is driven by the desire to continually exceed customer expectations. Commitment to customers is central to success in the market.

Contract manufacturing firms provide a wide variety READ MORE >

Note: Product cover images may vary from those shown
2 of 3

TABLE OF CONTENTS:

CONTRACT MANUFACTURING EXECUTIVE SUMMARY

Low Margins ES-1

Contract Manufacturing Market Segments ES-1

Variety Of Products And Services ES-5

EMS Approach To Manufacturing ES-5

Complete Systems ES-7

Turnkey Manufacturing Variables ES-7

Printed Circuit Board (PCB) Assembly Business ES-9

Faster Time To Market ES-10

Supply Chain Automation ES-12

Integration Platforms ES-15

CONTRACT MANUFACTURING MARKET DESCRIPTION

1.1 Building An Economy In Less Developed Parts Of The World 1-1

1.2 Benefits Of Outsourced Manufacturing 1-2

1.3 Enterprise Application Integration / Different Companies Functioning As One 1-4

1.4 Competitive Issues 1-7

1.5 Global Electronics Design And Manufacturing Services 1-9

1.5.1 Design 1-10

1.5.2 Photonics 1-12

1.5.3 Prototyping 1-13

1.6 Systems Assembly 1-13

1.6.1 Product Assembly And Test 1-17

1.6.2 Full System Assembly 1-17

1.6.3 Product Assurance 1-18

1.7 Technology, Research, And Development 1-18

1.8 Advanced Test Capabilities 1-20

1.9 Factors Impacting Operating Results 1-23

1.10 Quality Processes And Test Technology Provide Competitive Advantage 1-30

1.11 Evolution Of The EMS Industry 1-32

1.12 Enterprise Core Competencies 1-33

1.13 EMS Core Competencies 1-34

1.14 EMS Key Success Factors 1-37

1.15 Market Location 1-39

1.16 EMS Services 1-39

1.16.1 Supply Chain Management 1-39

1.16.2 Supply Chain Services 1-40

1.16.3 Materials Procurement And Management 1-41

1.16.4 Logistics 1-42

1.16.5 Inventory Risk Minimization 1-44

1.16.6 Sole-Source Supplier Management 1-44

1.16.7 Procurement Of Components 1-45

1.17 Enclosures 1-45

1.18 Failure Analysis 1-46

1.19 Packaging 1-47

1.20 Global Distribution 1-47

1.21 Network Services 1-48

1.22 Technologically Advanced Products With Short Life Cycles 1-49

1.23 Contract Manufacturers Response To Severe Economic Downturn 1-49

CONTRACT MANUFACTURING MARKET SHARES AND MARKET FORECASTS

2.1 Market Driving Forces 2-1

2.2 Electronics Manufacturing Services Industry Market Issues 2-7

2.3 Provider Scale And Diversity 2-10

2.3.1 Turnkey Manufacturing Variables 2-11

2.4 Market Growth Trends 2-13

2.5 Market Trends 2-15

2.6 EMS Industry Competition 2-16

2.7 Outsourced Electronics Manufacturing Market Shares 2000 And 2001 2-17

2.8 Outsourced Electronics Manufacturing Market Forecasts 2002 To 2007 2-22

2.9 Internet 2-24

2.9.1 Data Traffic 2-25

2.9.2 Changing Internet Traffic Patterns 2-27

2.10 Contract Manufacturing Segments 2-28

2.11 Communications Contract Manufacturing Market Shares And Forecasts 2-31

2.11.1 Telecommunications Outsourcing 2-37

2.11.2 Increase In Bandwidth Demand 2-38

2.11.3 Optical Switching 2-40

2.12 Outsourced Server Manufacturing 2-41

2.13 Outsourced Personal Computer Manufacturing 2-44

2.14 Outsourced Peripheral Computer Device Manufacturing 2-48

2.15 Outsourced Medical Manufacturing 2-52

2.16 Outsourced Automotive Manufacturing 2-55

2.17 Manufacturing Outsourcing Segment Summary Analysis 2-59

2.18 Manufacturing Outsourcing Regional Analysis 2-62

2.18.1 Celestica Geographies 2000 2-64

MARKET SHIFTS IN CONTRACT MANUFACTURING

3.1 Market Consolidation 3-1

3.2 EMS Industry Structural Shift 3-4

3.2.1 Manufacturing Facilities Sold To Outsourcers 3-4

3.3 Risks Of Outsourcing Acquisitions 3-9

3.4 Solectron 3-10

3.4.1 Solectron / Alcatel 3-11

3.4.2 Solectron / Nortel and Ericsson Manufacturing 3-11

3.4.3 Solectron / IBM 3-11

3.5 Celestica 3-11

3.5.1 NEC / Celestica 3-12

3.5.2 Celestica Purchases Avaya Manufacturing 3-13

3.5.3 Avaya Outsourced Manufacturing To Celestica 3-14

3.5.4 Celestica / Lucent 3-14

3.5.5 Celestica / JDS Uniphase 3-14

3.5.6 Celestica / Motorola 3-14

3.6 Flextronics 3-15

3.6.1 Flextronics / Alcatel 3-16

3.6.2 Flextronics / Motorola 3-16

3.7 Sanmina / Alcatel 3-16

3.8 China Electronics Corporation (CEC) 3-17

3.8.1 Philips / China Electronics Corporation (CEC) 3-18

3.8.2 Ericsson Outsourcing 3-18

3.9 SCI 3-19

3.9.1 SCI Global Capabilities 3-19

3.9.2 SCI Systems / Nortel Networks 3-21

3.10 Sagem 3-22

3.11 Motorola / Flextronics 3-23

3.11.1 Ericsson / Flextronics 3-23

3.12 Synnex Distribution Agreements 3-24

EMS MANUFACTURING OUTSOURCING COMPANY STRATEGIES

4.1 Solectron Strategy 4-1

4.1.1 Quality 4-1

4.1.2 Solectron Partnerships 4-2

4.1.3 Turn-Key Capabilities 4-3

4.1.4 Advanced Manufacturing Process Technology 4-3

4.1.5 Diverse Geographic Operations 4-4

4.1.6 Manufacturing Strategy 4-4

4.1.7 Solectron Americas Operations 4-10

4.1.8 Mexico 4-11

4.1.9 Brazil 4-11

4.1.10 Puerto Rico 4-12

4.1.11 Europe 4-12

4.1.12 Asia/Pacific 4-13

4.1.13 Solectron New Product Introduction (NPI) Centers 4-13

4.1.14 Integrated Solution Global Services 4-15

4.1.15 Electronics Assembly 4-18

4.1.16 Computer-Aided Testing 4-18

4.1.17 Supply Chain Automation 4-19

4.1.18 Evaluating Board Designs 4-20

4.2 Jabil Strategy 4-20

4.2.1 Utilize Work Cell Business Units 4-23

4.2.2 Parallel Global Production 4-23

4.2.3 Systems Assembly And Direct Order Fulfillment 4-23

4.2.4 Acquisition 4-24

4.2.5 Jabil Approach To Manufacturing 4-24

4.2.6 Work Cell Business Units 4-25

4.2.7 Business Unit Management 4-25

4.2.8 Continuous Flow 4-26

4.2.9 Computer Integration 4-27

4.2.10 Supply Chain Management 4-27

4.2.11 Jabil Design Services 4-28

4.2.12 Electronic Design 4-28

4.2.13 Production Design 4-29

4.2.14 Industrial/Mechanical Design Services 4-30

4.2.15 Systems Assembly, Test, And Direct Order Fulfillment Services 4-30

4.2.16 Repair And Warranty Services 4-31

4.2.17 Jabil Technology 4-31

4.2.18 International Operation Strategy 4-33

4.2.19 Strategy 4-33

4.3 Celestica Strategy 4-36

4.4 Flextronics Strategy 4-39

4.4.1 Flextronics Location Of Facilities 4-40

4.4.2 Flextronics End-To-End Solution Strategy 4-41

4.4.3 Flextronics Strategy To Support A Complete Product On A Global Basis 4-43

4.4.4 Customer Product Development and Manufacturing Strategy 4-44

4.4.5 Leverage Global Presence 4-44

4.4.6 Industrial Parks Strategy 4-45

4.4.7 Comprehensive Solutions 4-46

4.4.8 Streamline Business Processes Through Information Technologies 4-47

4.4.9 Pursue Strategic Opportunities 4-48

4.5 SCI Systems Strategy 4-48

CONTRACT MANUFACTURING COMPANY PROFILES

5.1 Acer 5-1

5.2 Arimasoft 5-3

5.3 Celestica 5-4

5.3.1 Celestica Revenue 5-5

5.3.2 Celestica Customers 5-6

5.3.3 Celestica Job Cuts 5-7

5.3.4 Celestica Supply Arrangements 5-7

5.3.5 NEC / Celestica 5-7

5.3.6 Celestica European Wireless Communications Manufacturing Operations 5-9

5.3.7 Celestica Purchases Avaya Manufacturing 5-9

5.3.8 Celestica Alliance With Avaya 5-10

5.3.9 Celestica Buys Sagem Unit 5-10

5.3.10 Celestica Acquires Two Motorola Factories 5-11

5.3.11 Celestica / Omni Industries 5-11

5.3.12 Lucent Technologies Sells Plants To Celestica 5-12

5.3.13 Celestica / Omni Industries 5-12

5.3.14 Celestica / Motorola Facilities 5-12

5.3.15 Celestica / IronBridge Networks 5-13

5.3.16 Celestica / Bull Electronics 5-13

5.3.17 Celestica / Primetech 5-13

5.3.18 Celestica / IBM 5-14

5.3.19 Celestica / Alventive 5-14

5.3.20 Celestica Electronics Products 5-15

5.3.21 Celestica S100 And S150 Series DC To DC Converters 5-17

5.3.22 Celestica DDR (Double Data Rate) Memory Modules 5-17

5.3.23 Celestica Facilities 5-17

5.3.24 Celestica Regional Revenue 5-19

5.4 Philips / China Electronics Corporation (CEC) 5-20

5.5 Flextronics International 5-21

5.5.1 Flextronics Significant Business Combinations Completed In Fiscal 2001 5-21

5.5.2 Flextronics Revenue 5-22

5.5.3 Flextronics Customers 5-23

5.5.4 Flextronics Revenue 5-25

5.5.5 Flextronics Acquisitions 5-27

5.5.6 Flextronics Products 5-28

5.6 Jabil Circuit 5-30

5.6.1 Jabil Customers 5-33

5.6.2 Jabil Acquisitions 5-34

5.6.3 Jabil Acquisition Of Marconi’s U.K. And Italian Facilities 5-35

5.6.4 Jabil Circuit Opens In Tokyo 5-36

5.6.5 Jabil Regions Served 5-37

5.6.6 Jabil Revenue 5-37

5.6.7 Jabil Fiscal Year 2001 Results 5-38

5.6.8 Jabil Restructuring 5-39

5.6.9 Jabil Positioning 5-39

5.7 MiTAC International Corporation 5-42

5.8 SCI Systems 5-43

5.8.1 SCI Revenue 5-44

5.8.2 SCI Acquisitions 5-45

5.8.3 Capacity And Organizational Realignment 5-46

5.8.4 Sector Analysis 5-47

5.8.5 Regional Revenue Analysis 5-48

5.8.6 SCI Systems / Nortel Networks 5-48

5.8.7 Sanmina / SCI Systems 5-50

5.8.8 Sanmina 5-51

5.8.9 SCI Systems Realignment Of Capacity And Workforce 5-52

5.8.10 SCI Plant Expansions 5-53

5.9 Solectron 5-54

5.9.1 Solectron Customers 5-54

5.9.2 Solectron Positioning 5-54

5.9.3 Solectron Geographical Reach 5-56

5.9.4 Solectron Regional Analysis 5-62

5.9.5 Solectron Acquisitions 5-63

5.9.6 Technology Solutions 5-64

5.9.7 Global Services 5-64

5.9.8 Solectron International Sales 5-65

5.9.9 Solectron Net Sales to Major Customers 5-65

5.9.10 Solectron Customer Base 5-66

5.10 Synnex Information Technologies 5-66

5.10.1 Synnex Key Suppliers 5-68

Note: Product cover images may vary from those shown
3 of 3
Note: Product cover images may vary from those shown

RELATED PRODUCTS from Db