Getting Visibility into Quality

Out-source manufacturing is a de-facto matter of business necessity for most OEM and ODM manufacturing companies. It is estimated that in 2008 (source IDC) that the assembly value of the global electronics market was close to $1 trillion dollars, with roughly $300 billion being outsourced. With this rising share of outsourced manufacturing, the cost saving benefits are well known and proven.  What is unknown and still a struggle to solve is the state of the product’s quality when shipped to the customer.

I believe the fundamental part of this problem is how to strike the right balance of trust between the OEM and outsource manufacturer to achieve the desired quality.

Here are some interesting excerpts  taken from a study done in 2006 by Venture Outsource:

Comments from OEMs that were asked what outsource manufacturing companies could do to improve overall trust:

  • “Be accountable and be able to share real-time data.”

Comments from outsource manufacturers on what they should be improving:

  • “Improve overall performance, including quality and delivery lead-time.”
  • “Increase transparency while at the same time indicating that the company must be a profit-seeking enterprise if it is to serve its customers’ long-term best interests.”

My takeaways from this study is that visibility of quality data both historically and in real-time are key enablers for bridging this trust gap. With the right level of information sharing, trust can be built and ultimately allow the relationship to be stronger.


Harsh Wanigaratne

VP Marketing, IntraStage Inc.

Has the Quality Paradigm Shift begun?

Welcome to the IntraStage Blog!

Data, data, data…it exists everywhere, somewhere, lurking, hiding in our organization and making it hard for us to get at it and make the right decisions on problems we face everyday. We also know its a fool’s errand to hope to get all the data and make the perfect decision.

The “data”  I am referring to here is..”test data” or more accurately data that is generated by your products as you test them through R&D, manufacturing and into the field.  My hope in this blog is to have a conversation on how to inch towards that “perfect decision” and ultimately ship superior quality products, faster and cheaper.

Where do we start? Lets start with Cisco Systems, one of the Most Admired companies on the planet, who just launched a software backbone to control product quality in April 2010.  I would like to think it is coincidental that we launch this blog at the same time, but maybe they just realized the crushing weight of not having this quality data is doing to their business.

I think its a great way to start the topic on how to really get a handle on product quality from Outsourced and Contract Manufacturing….

Cisco Real Time Quality


Harsh Wanigaratne,

VP Marketing, IntraStage