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Outsource Manufacturing

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The most common definition of outsource manufacturing is when the manufacturing that one company needs performed is hired out to a different company that is ultimately responsible for the manufacturing. The manufacturing work is to an outside source which is where this term originates. Many companies participate in outsource manufacturing because of reduced production costs that are made possible through economies of scale which is a theory that holds that as a company grows and produces more goods or provides more services, their costs will probably decrease and economic growth will be achieved. Read More…

Outsource Manufacturing Outsource manufacturing is performed by a company that was hired to manufacture parts and products for another company. There are usually international connotations with this term though it may be used interchangeably with contract manufacturing, offshoring or subcontract machining. No exact definition of these business processes is widely accepted and they are all similar to each other.
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Leading Manufacturers

Stuart, FL  |  772-286-9278

Manufacturer of standard and custom rubber products. Made of EPDM, neoprene, nitrile, dense, recovery sponge rubber and silicone compounds. Secondary processes such as die cutting, notching, and glue splicing are offered. Products can be shipped in one or two days.

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Britech Industries $$$

Reedsburg, WI  |  608-524-4341

Hankscraft Inc. offers customers the ability to have all of their manufacturing needs in one supplier. With our extensive and expanding list of capabilities Hankscraft has the most comprehensive manufacturing capabilities available for our customers. We offer US manufacturing, China manufacturing or a combination of both utilizing low cost components while adding US assembly content.

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Hankscraft, Inc. $$$

Allenton, WI  |  262-251-1632

Maysteel provides complex sheet metal fabrication with a focus on design for manufacturing. Founded in 1936, we combine our extensive engineering experience and market knowledge with an expanding supply chain footprint, allowing us to fabricate products that others can’t. We design, engineer and manufacture custom OEM sheet metal enclosures, kiosks, cabinets and racks. We have locations in the U.S. and Mexico, as well as partnerships in Europe. For more information, visit www.maysteel.com.

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Maysteel Industries, LLC $$$

Cleveland, OH  |  888-327-6714

Talan Products is a leading contract manufacturing company specializing in metal stamping, aluminum extrusions, assembly & secondary operations supporting OEMs primarily in the building components, automotive & fastener industries.

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Talan Products Inc. $$$

Cleveland, OH  |  440-238-3009

Our staff boasts over 100 years combined of field industry experience. We have been offering top of the line contract manufacturing services for over twenty-five years and this is something that we strive to continue long into the future. With our 45,000 square foot facility we are dedicated to manufacturing whatever you need to keep your business moving smoothly.

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GSH Industries, Inc. $$$

Tamaqua, PA  |  888-218-2260

Long recognized as experts in the field of high-performance metal working, Remaly Manufacturing Company’s fabrications and assemblies are found throughout Aerospace, Energy, Defense and Aviation industries. Utilizing comprehensive forming, machining and assembly processes, Remaly Manufacturing Company is a contract manufacturing facility that delivers the best when it comes to quality. For more info, visit our website!

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Remaly Manufacturing Company, Inc. $$$

Odenton, MD  |  800-394-7883

When American Urethane responds to a quote, you are able to talk to one of their expert engineers who understand all your needs and concerns. This allows you to be assured that you will receive the precise product you need for you application.

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American Urethane, Inc. $$$

Middlesex, NJ  |  800-229-3338

Petro provides contract manufacturing for our customers and offers many capabilities, such as customized shapes & extruded tubing, along with tape application, coiling & angle cutting. We have a full staff of engineers who can assist you & ship out stock products within 24 hours of your order.

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Petro Extrusion Technologies, Inc. $$$

Apple Valley, MN  |  888-638-3604

Tyler Madison provides contract manufacturing for a broad range of industries. They provide companies with a full line of products that are used for powering, lifting, hanging, pulling, braking, suspending & winding of 270lbs - 14,400 lbs tension.

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Tyler Madison, Inc. $$$

Brentwood, NY  |  800-238-3929

ISO 9001:2015 and AS9100D Certified contract manufacturer of custom machined precision component parts. Our expertise is in the utilization of CNC controlled turning and milling machines as well as multi-spindle, single spindle, and Swiss screw machines. Industries w

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Thuro Metal Products, Inc. $$$
placeholder image Britech Industries Hankscraft, Inc. Maysteel Industries, LLC Talan Products Inc. GSH Industries, Inc. Remaly Manufacturing Company, Inc. American Urethane, Inc. Petro Extrusion Technologies, Inc. Tyler Madison, Inc. Thuro Metal Products, Inc.

While there are many kinds of manufacturing processes, there are also many different subcontractors willing to perform outsourced work. Whether it is milling, etching or welding, companies in North America or around the world are willing to accept the contract. Outsource manufacturing is widely used by many companies including those in need of aerospace, automotive, construction, electronics, food and beverage, marine, medical and pharmaceutical contract manufacturing.

Custom Wire Formed Racks and Displays Outsource Manufacturing - Advance Wire Forming, Inc.

Outsource manufacturing usually follows a standard business model. A company decides that it is going to hire an outside company to provide certain manufacturing services. It solicits job estimates from various companies in that business. Usually these companies are exclusively subcontractors that do outsourced work. They provide the hiring firm with bids based on the labor, tooling and material costs. The hiring firm then makes a selection based on what they interpret is the best service and the most cost effective.

Companies that outsource their manufacturing work have chosen not to purchase or rent their own production facility in order to take advantage of possible cost savings while avoiding the hassles and responsibilities of manufacturing themselves. The two companies discuss details such as the length of the contract, the amount paid and the specific manufacturing services to be provided and, once in agreement, sign a contract.

Other options beyond outsource manufacturing includes subcontract machining, contract assembly or manufacturing for a specific industry, such as aerospace, chemical or pharmaceutical plants. Hiring manufacturing services is also similar to working with an OEM, an original equipment manufacturer. OEMs fabricate products that are purchased by the hiring firm and sold under the branding of that same company. In both cases, the firm that is hired to do the actual work is not the same firm who designs, advertises, retails and profits from the services.

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