OEM Legacy Manufacturing
Open Book Pricing
Are you struggling with your OEM products nearing obsolescence?
Since 2002, Fusion OEM has functioned as a Private Labeler of OEM equipment and products, providing Chicago area original equipment manufacturers with turnkey assembly of OEM Legacy Manufacturing & Open Book Pricing.
As an OEM's business evolves and product lines mature, maintaining and supplying older equipment and products can drain the OEM's precious resources. What was once a profitable business can become costly overhead. Continuing to produce lower-volume, slower moving items results in more expensive manufacturing and increased inventories diverting valuable resources needed to support the OEM's core products and services. Fusion can help you extend the life of your product while reducing the cost and protecting your intellectual property. Our game-changing Life Extending Manufacturing program provides you with a year-by-year plan to manage your older products.
Life Extending Manufacturing Program
- Parts Obsolescence
- Sustaining Engineering
- Inventory Management
- Technical Support
- Repair Services.
In most cases, Fusion OEM can provide a higher-value alternative than to retain in-house expertise or outsourcing to foreign countries. Contrary to current industry expectations, Fusion is able to stem the decline of revenue and profitability as your product lifecycle matures.
Open Book Pricing
Fusion prides itself on offering customer-formed solutions that are tailored to each client's specific manufacturing needs. One of the benefits offered by Fusion is the Open Book Pricing Program, which is an innovative strategy that proposes a cost plus fixed margin pricing structure. Fusion offers full disclosure of all costs and margins in a comprehensive pricing report for the client. When approaching a project, Fusion compiles the projected material and labor costs into a detailed itemized quotation. Fusion's 30% gross margin, consisting of overhead and profit, is included in this report so that clients can understand all of the true associated costs of a product. As a project evolves, the client is able to see how any changes affect the overall price of their product, allowing them to make confident, informed decisions every step of the way.
The Open Book Pricing Program is a core feature of Fusion's business philosophy that strengthens trust and communication with our clients. The transparency of Open Book Pricing creates a safety net for a client that enables them to know exactly where the costs of a product are stemming from and quickly address any concerns or issues. This helps eliminate future setbacks and results in greater speed to market. Clients also have the option to audit reports after a project's completion, further illustrating the transparency created by this approach.
With a single order to Fusion OEM, we can seamlessly manage the countless hours of:
- Global supply chain management and logistics
- Production management
- CNC machining production
- Electrical assembly
- Mechanical assembly
- Testing and QC documentation
The benefits to the OEM include:
- Elimination of "noise" from non-core manufacturing
- Acceleration of growth in your industry or market
- Focus on core products and services
- Reduction in risk of overproduction
- Free resources for new product development