A contract manufacturer (“CM”) is a manufacturer that contracts with a firm for components or products (in which case it is a turnkey supplier). It is a form of outsourcing. A contract manufacturer performing packaging operations is called copacker or a contract packager. Brand name companies focus on product innovation, design and sales, while the manufacturing takes place in independent factories (the turnkey suppliers).
Most turnkey suppliers specialize in simply manufacturing physical products, but some are also able to handle a significant part of the design and customization process if needed. Some turnkey suppliers specialize in one base component (ex. memory chips) or a base process (e.g. plastic molding).[1]
It can be daunting for small and medium enterprises (SMEs) in the manufacturing sector to automate without any assistance. For one, the equipment can be costly and the technology hard to understand. Also, the companies have different needs, making sourcing for the relevant solution providers another challenge on its own.
Yet, automation is viewed as inevitable in manufacturing in view of rising labour costs and the need to improve the country’s productivity, which still lags behind several high-income regional economies, according to the World Bank. Accelerating labour productivity is key to nudging Malaysia towards becoming a high-income nation and it can be achieved by adopting new technology.
Three C Technology (3CTech) is a provider of Contract Manufacturing and Engineering Services.
We have over 40 assemblers, techncians and engineers with experience in manufacturing, engineering and customer services. We continually to work close with the Penang Industrial Hub to provide the following services:
– machine alignment
– machine fine tuning
– machine troubleshooting
– machine maintenance
– on-site machine interface installation
– on-site service support