OEM Calculator Uncovers EMS Manufacturing Program Savings

OEM Calculator Uncovers EMS Manufacturing Program Savings

I created this online EMS calculator for electronic OEM companies sourcing EMS manufacturing services to help identify, and compare, OEM in-house manufacturing program cost vs. potential savings as you evaluate quote pricing from prospective outsourcing with contract EMS manufacturing providers.

(Image courtesy Venture Outsource LLC)

This simple contract EMS manufacturing calculator is most useful for OEM manufacturers with currently electronics production programs in-house, yet wanting to know potential savings should they outsource their programs to EMS providers. In addition to RFQ/quote pricing information (provided by the contract manufacturers OEMs are considering), you will need the following:

  • OEM program materials cost of goods sold (MCOGs)
  • OEM direct labor (hourly)
  • OEM cost rate
  • number of units to be manufactured

Try the EMS calculator. Or, if you want to create more complex costing modelers, you can create your own costing modeler for EMS programs by following these time-tested guidelines detailed in this paper available here.

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