What are the risks associated with utilizing OEM?
The primary risks associated with utilizing a manufacturing service provider are the following: that the relationship between an OEM and an organization may become strained if the OEM’s financial situation becomes negative, controlling interest of the OEM changes, or an OEM initiates a change in its’ fundamental strategy/structure; that the technological needs of an organization may become more sophisticated than a given OEM is capable of handling; and that an organization with an existing investment in manufacturing in relatively small communities that are dependent on that organization puts itself at risk of negative publicity and employee morale.
