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TopLiterature Review
The literature review will start with an overview of the EMS industry, later the effect of Information Technology (IT) in the Supply Change Management will be examined and its impact in the EMS business model will be discussed. The literature review will end by outlining some key considerations with regards to platform security.
The Electronic Manufacturing Services (EMS) industry started over 30 years ago when companies were formed to manufacture designs created by governmental agencies such as the Department of Defense (DOD) and NASA. During the 1980s, a handful of contract manufacturing companies or board stuffers were formed each year. Many of these companies started with one or two Surface Mount Technology or SMT lines, accepting contracts from companies that had an overflow of work (ILO 2000, 2011).
To this end, SCM has emerged as a key competitive factor and companies such as Dell and Cisco have shown the economic power of a well-run supply chain. The pursuit of supply chain prowess has created a window of opportunity for EMS companies to move up the value-chain and beyond a simple manufacturing arm for customers.
Key Terms in this Chapter
Business model: A business model is an “abstract representation of an organization, be it conceptual, textual, and/or graphical, of all core interrelated architectural, co-operational, and financial arrangements designed and developed by an organization presently and in the future, as well as all core products and/or services the organization offers, or will offer, based on these arrangements that are needed to achieve its strategic goals and objectives.
Supply Chain Management: The management of the flow of goods and services. It includes the movement and storage of raw materials, work-in-process inventory, and finished goods from point of origin to point of consumption.
Electronic Manufacturing Systems: A term used for companies that test, manufacture, distribute, and provide return/repair services for electronic components and assemblies for original equipment manufacturers (OEMs). The concept is also referred to as electronic contract manufacturing (ECM).
Revenue Model: A key component of the business model is the revenue model, which is a framework for generating revenues. It identifies which revenue source to pursue, what value to offer, how to price the value, and who pays for the value. It is a key component of a company's business model. It primarily identifies what product or service will be created in order to generate revenues and the ways in which the product or service will be sold.
E-procurement: The business-to-business or business-to-consumer or business-to-government purchase and sale of supplies, work, and services through the Internet as well as other information and networking systems, such as electronic data interchange and enterprise resource planning.
Re-Engineering: Focusing on the analysis and design of workflows and business processes within an organization. BPR aimed to help organizations fundamentally rethink how they do their work in order to dramatically improve customer service, cut operational costs, and become world-class competitors.