Many of the companies that started out as assemblers or contract manufacturers have developed into modern, future-oriented EMS (Electronic Manufacturing Service) companies. They now offer a comprehensive service portfolio along the entire value chain and for the entire product life cycle. In the course of digitalization, the range of services is being further expanded and supplemented with online and portal solutions.
Services for other companies have long been commonplace in the electronics industry. While in the past only the assembly or mounting of electronic assemblies was often requested and offered as a service, many other services have been added over time. The spectrum now ranges from development and design to disposal and covers the entire product life cycle. And this applies not only to electronic assemblies but also to complete devices and systems containing electronics. In principle, the client/customer only has to define which properties his product should have (product idea/concept) and to whom what should be delivered when and in what quantity. Service providers, if commissioned, take care of everything else. This allows the customer to concentrate fully on their core competencies and not have to worry about product realization, which requires special resources and large investments. This is because the EMS partner is responsible for providing the required processes and resources as well as logistics/materials management, including infrastructure and production capacities.
Diversity requires choice
Several hundred EMS companies are based in Central Europe alone. The spectrum ranges from small companies with just a few employees to global corporations with thousands of employees and sales in the billions. The range of services offered in the EMS sector is similarly diverse. There are also differences in the customer sectors served by EMS companies. There are companies that focus on just one sector (e.g. the automotive industry) or just a few sectors (e.g. with safety-critical products or mass products such as white goods). Only the larger ones serve (almost) all markets. The know-how of industry-specific product specifications at EMS companies, which is important for the realization of solutions, varies accordingly. Finding the right partner is therefore a challenge. This is only easy if pure assembly is required as a service, as this is offered by all of them. If more than this is required, the customer must state exactly what they want or need in order to receive the right offer. And this is where there are often communication problems between customers and EMS companies.
More than just assembly means added value for customers
Most modern EMS companies have typically developed from assemblers/contract manufacturers. This is still reflected today in what is usually included in the calculation by the industry, namely only the basic services such as design, production and/or after-sales service according to the customer's request. Other services that supplement the basic services and are usually not so obvious, so-called back-stage services (term coined by the ZVEI EMS initiative) are only taken into account and realized in the calculation or offer if there is corresponding customer interest. These additional services, which often represent considerable added value, include, for example
- Design optimization (DfX)
- traceability
- material management
- supply chain management
- Obsolescence management
- Product compliance
- Product changes
- Risk management ...
They must be agreed between the customer and the EMS partner in advance of the offer. In particular, it must be determined who bears what responsibility, who will provide what service and who will bear the costs. However, there are also tasks that cannot be outsourced to an EMS company, such as product responsibility as the named manufacturer or distributor (IP ownership) and warranties for customers.
EMS offer a lot - no company can offer everything
Although EMS companies have a comprehensive range of services, they cannot offer everything - even the larger ones. This is because not only the electronics to be produced are too complex and diverse, but also the market and customer requirements. A mass manufacturer will have problems with the realization of a quick turnaround, but not a small company specializing in this field. Due to the variety of requirements and the range of services on offer, it is important to find the right partner or partners. A complete overview of the market is required here, which will be easier in future with the EMS online/portal solutions that are currently being considered or developed.
Although it is technically possible to produce both very small quantities and large volumes on the same SMT line, this does not make economic sense. And this applies not only to this process (SMT line) but to all processes: The entire equipment should be matched to the required quantities. The technology and quality must also be right.
Standard or special solution
It is obvious that rigid PCBs cannot be processed with a reel-to-reel line designed for foil assembly. However, it is less well known that a normal SMT line for PCB assembly cannot usually be used (without problems) to assemble ceramic substrates. The usual placement machines are also not designed for 3D placement (on three-dimensional substrates). These few examples should make it clear that in many cases, even for the 'simple' process of SMD placement, equipment tailored to the product is required. Many other processes such as THT assembly, coating, potting, device assembly and testing are much more critical in this respect. This is because specific solutions (especially tools and know-how, but also special machines) are usually required here. And these must also be qualified or approved for the planned applications of the manufactured products. Safety-critical products in particular require industry-specific solutions, including certifications.
Universalists and specialists
Pure universalists, who only offer the general standard, and pure specialists, who only concentrate on a specific field of activity, do exist in the industry. More common, however, are universalists who also have one or more special fields of activity. For example, there are companies that, in addition to standard SMD assembly, also offer film assembly using the roll-to-roll process. Others offer 3D printing (additive technology), control cabinet construction or device construction through to system integration as additional services. In addition to standard technology, some companies have special focuses such as
- Miniaturization
- Embedding (embedding components in the printed circuit board)
- High temperature resistance
- High acceleration resistance
- Explosion protection
- Test, burn-in
- repairs
- Reengineering
- Analysis laboratory ...
Furthermore, many EMS companies are characterized by several certifications. Certifications according to the following standards are widespread:
- ISO 9001
- ISO 14001
- ISO 13485
- IATF 16949
- EN/AS 9100
- ISO/TS 22163 (formerly IRIS)
- UL
- FDA ...
There are also EMS companies that are involved in trade associations and form networks. These include, for example, the companies that have joined forces in the ZVEI's 'Services in EMS' initiative, which also includes a voluntary commitment to a wider range of services. In line with the motto 'Quality through competence and customized service', they offer customers a uniform service standard and have published informative leaflets on important EMS service topics in recent years (www.zvei.org/verband/fachverbaende/fachverband-pcb-and-electronic-systems/initiative-services-in-ems).
Selection criteria through to resilience
Finding a suitable EMS service provider for each project/product, preferably the optimal one, is a challenge given the diversity of both customer requirements and service offerings. This is why general selection criteria are not expedient. Instead, it is advisable to use individually compiled criteria tailored to the project/product, taking into account all the aforementioned facts about the EMS service provider. The customer should also assess whether it is more advantageous for them to work with just one or several differently positioned EMS service providers. If the products are similar, it is often cheaper to commission just one service provider (volume effects and lower number of suppliers). However, in order to further ensure long-term availability and resilience, consideration should also be given to the qualification of a second EMS so that everyone can benefit from the comprehensive service offered for the entire product life cycle. Another factor that is becoming increasingly important is how an EMS company is positioned in terms of sustainability.