Outsourced Manufacturing

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Posted on by Community Member Microsoft Employee

Hello,

we are going to outsource part of manufacturing process into different EU country where RM and SF items will be reworked to Finished goods and send back to us.

What would you suggest from Warehouse location/bin setup - do we need new location to transfer RM/SF items into or is it enough to have dedicated bin for this?

Thank you for your responses

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snnetteC 10 on at

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RE: Outsourced Manufacturing

it is not entirely clear
snnetteC 10 on at

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RE: Outsourced Manufacturing

it is not entirely clear
radukris 5 on at

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RE: Outsourced Manufacturing

It all sums up to what type of activity you will have, how large is the project and the post production services. Every one of the 3 most common models (Fixed Price, Time and Material, Cost Plus) have pros and cons, being more advantageous for a project or another. From my experience working in an outsourcing team of devs, the most common type we generally use is Time and Material pricing model. It is very flexible and allows for a lot of freedom of choice and control over the project, but at the same time you can't budget the costs very accurate. There is more to pricing models than it seems on surface, so I recommend you to read this article that describes in details about outsourcing pricing model
SharpMind 40 on at

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RE: Outsourced Manufacturing

Hey, friend I'm interested in pricing models for outsourcing teams as I've built an outsourcing team and I would like to know about pricing models