Medical Electronics Symposium Conference Proceedings


MEDICAL ELECTRONICS MARKET: INSIGHTS AND RECOMMENDATIONS

Author: Eric Miscoll
Company: Technology Forecasters, Inc.
Date Published: 9/12/2006   Conference: Medical Electronics Symposium


Abstract: It is widely acknowledged that the medical electronics vertical will be a growth driver for many electronics manufacturing services (EMS) providers. Many medical OEMs have been shifting from a vertically integrated manufacturing strategy, in which all manufacturing functions and controls are held by the OEM, to an outsourced manufacturing strategy. This shift parallels, though lags, the outsourcing trends seen in the computer and networking industries. In order to provide a detailed analysis of the medical industry and its outsourcing trends, TFI designed a project with the following components: Research and analysis of the medical electronics industry characteristics; research and analysis of the medical electronics industry segmentation; survey of medical OEMs to learn their outsourcing needs and attitudes; research and analysis of EMS industry players in medical industry; survey of EMS providers to understand their experiences with medical OEMs. Specific outsourcing trends seen in the medical industry are: 1) Increased manufacturing outsourcing, especially of components and sub-assembly manufacturing; 2) Medical OEMs transitioning from manufacturing organizations to supply chain organizations focused on design, marketing, and quality controls; 3) Increased manufacturing in Asia for low-cost advantages and proximity to large Asian markets, notably China. Key words: EMS, medical electronics, manufacturing



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