3rd Party Manufacturing
CONTRACT MANUFACTURING
Businesses today thrive by focusing on what they do best and leaving the
rest to others. Contract manufacturing seems to fit neatly into this
practice. In addition to allowing companies to focus on core competencies,
contract manufacturers offer numerous other advantages over in-house
manufacturing, including lower costs, flexibility, access to external
expertise and reduced capital.
Even with solid assumptions, it may be a struggle to achieve the hoped-for
benefits. That's largely because it's difficult to manage complex
relationships. Ideally, the parties would create perfect plans that would
make it possible to manage the relationship .
Instead, organizations need to take a strategic approach to
contract-manufacturing relationships. Here we explain how businesses can do
this by rigorously assessing when and why to use contract manufacturers,
setting the appropriate working model and developing an effective
organization
CONTRACT MANUFACTURING: WIN-WIN STRATEGY
Success in contract manufacturing is lead by
factors such as product quality, cost competitiveness, delivery schedule and
CM/Customer relationship.
In today's competitive environment, the contract manufacturing business is
quite challenging The development of new components and technologies demands
high capital investment and specialized resources. The increasing complexity
of pharmaceutical products has phased out manual operating methods and
forced manufacturers to utilize hi-tech automatic manufacturing techniques.
This works out to be more cost-effective for them since their internal
resources can be focused on more important aspects of business such as
product development and marketing. This trend has led to a boom in a
phenomenon called contract manufacturing (CM). The CM business in the field
of pharmaceutical is growing rapidly worldwide, and is expected to further
accelerate at a very robust rate over the next five years. Globally. It has
been observed that production equipment being used by different
manufacturers is quite similar. In manufacturing, much of the cost
competitiveness comes from the manufacturing process yield. This yield can
be increased through an accurate control and handling of the manufacturing
equipment, careful selection of materials and their proper handling on the
product line. In other words, the manufacturing process yield depends on the
knowledge of the production process expertise, and how well they are able to
motivate and educate production operators.
WINNING FACTORS IN CONTRACT MANUFACTURING
Contract manufacturing has undergone a tremendous change with the
transition from through-hole to surface-mount technology. New material and
new formulation techniques have been developed. Consumer awareness and
global competition has made it mandatory for manufacturers to produce
high-quality products at minimum cost within the delivery schedule. In
addition, a thorough understanding of current manufacturing technologies is
essential. Factors important for achieving success in CM are product
quality, cost competitiveness, delivery schedule and CM/Customer
relationship.
PRODUCT QUALITY
Perhaps the most important thing in contract manufacturing is to produce
high-quality products. This is not a very difficult task for Jocund India
Ltd . Modern hi-tech automatic manufacturing processes are available of
manufacturing consistently high-quality products.
