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PCB Third-Party Manufacturing and Its Benefits for Electronic Manufacturers: A Quick Explainer

The manufacturing industry refers to the production of everything from automobiles to electronic medical devices. The COVID-19 pandemic disrupted the sector, only to reveal the profound vulnerabilities in the supply chain for manufacturers and the businesses that rely on them.

The global shortage has also extended to the production of semiconductors, printed circuit boards (PCBs), and other critical electronic components. The crisis has pushed manufacturers to explore ways to increase production efficiencies.

Many companies hence moved to third-party manufacturing companies for rescue. This article explores third-party manufacturing companies and how electronic manufacturers can benefit from them.

What is PCB Third-Party Manufacturing?


A third-party manufacturing company specialises in building products for other companies under their label.

Printed circuit board (PCB) manufacturers build PCBs for electronic manufacturers using the designs needed. These designs are usually approved by the contractors who want to make them.

In PCB design and manufacturing, third-party manufacturing companies play a crucial role — especially after the pandemic. Electronics manufacturers have the engineering expertise and infrastructure to design, assemble, market, and sell PCBs.  However, many lack the skill and infrastructure to manufacture the circuit boards.
By outsourcing it to third-party manufacturing companies, manufacturers can concentrate on priority areas, such as engineering and marketing of the products.

10 Advantages of Third-Party PCB Manufacturing

PCB manufacturing is emerging as the backbone of users’ electronic needs. However, designing PCBs can be time-consuming and costly. Outsourcing is an efficient way to simplify this and secure all the relevant parts for manufacturing. It not only helps businesses save time but also design quickly.

There are several reasons why outsourcing PCB Manufacturing to third-party works well than building it in-house. Here are the top 10 benefits:

1. Simplifies Manufacturing Process

In-house circuit board manufacturing is a complicated task. Outsourcing saves you from this hassle and helps you avoid multiple challenges, including

  • The capital of investing in and maintaining the infrastructure needed to manufacture the PCBs.
  • The hassle of updating the technology needed for PCB manufacturing.
  • Maintaining a team of skilled technicians to keep your operations going.
  • The hassle of supervising your PCB manufacturing operations.

2. Ensure Top-Notch Quality For Circuit Boards

Third-party manufacturers specifically are experts in their niche.  They have been doing this work for years and have the right kind of expertise for the same. They understand the requirements and can build the best quality products at a reasonable rate. They have full-fledged, skilful teams building different circuit boards and technologies. Their experience, capabilities, and expertise make them a more reliable choice when it comes to quality.

3. The Cost-Prohibitive Factor

PCB manufacturing requires a highly mechanised process. The equipment needed for this can be cost-prohibitive for many companies. Relying on third-party manufacturing companies gives manufacturers an edge as their circuit boards will be designed more efficiently and cost-effectively without additional capital expenditure on capacity building.

4. The Low-Volume High-Mix Business Model

Third-party manufacturing companies often follow the  “low-volume, high-mix” production model. It means that manufacturers can produce unique and complex products with specific quality requirements in small quantities.

This way they can respond swiftly to users’ changing needs. This model is ideal for building prototypes and ramping up production on new devices to combat immediate needs. This kind of infrastructure has been effective during emergencies such as the COVID-19 pandemic.

5. Two Heads > One

When you partner with a third party manufacturing company, you’ll have complete oversight of reviewing the PCBs. It will help you reduce critical loopholes that could cause expensive do-overs in the long run. Outsourcing ensures the likelihood of your boards having considerable problems.

6. Reduce Material Costs And Expensive Replacements

When you outsource your PCB manufacturing processes, you’re saving on the production cost and components. It also ensures you don’t waste money on replacements that come through a warranty.
You could also partner with a PCB manufacturer that takes full accountability for the quality of their output. See if they provide fulfilment services, such as troubleshooting, repair, etc. It’ll help you reduce the cost of replacing faulty units.

7. An Entirely Dedicated Staff 

PCB contract manufacturers have an in-house, dedicated staff of technicians and engineers. Many third-party manufacturing companies also assist electronic manufacturers with a wide range of services, including schematic captures, PCB layouts, mechanical designs, and so on.

8. Get Access To A Wide Network Of Vendors And Distributors

Once you outsource to third-party manufacturers, you won’t have to worry about what material is available and what is not. Third-party manufacturers have a team of component engineers trained to make alternative decisions if some parts are unavailable. Besides, they have a network of vendors and distributors to ensure they get the components soon at the best price possible.

9. Products That Meet Industry Standards

Third-party manufacturing companies usually hold multiple certifications that lift their reliability and authority in the market. Many manufacturers also conduct periodic training and workshops for their staff to ensure they are adept in the latest industry standards.

10. Proven Success Record Of PCB Manufacturing

Third-party manufacturers stay in business for years by providing the highest quality output. They usually have a list of references, testimonials, and case studies to prove their mettle.

Find The Right Fit

These are just the top ten reasons, but there are many other factors in play. Multiple manufacturers cater to only specific requirements and are experts in the said niche. For example, a PCB third-party manufacturing company specializing in cable assemblies, and wire harnesses can provide more value by helping build the entire product under one roof.

Renowned Brands like Oakter can help you build and develop innovative products and white-label solutions. Our highly-trained team of technicians, engineers, and component specialists have years of experience building multiple types of circuit boards.

Reach out to us today!

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