Talk:Contract manufacturer: Difference between revisions
m Signing comment by Robillard - "→What are differences between Toll Manufacturing and Contract Manufacturing ?: " |
No edit summary |
||
| Line 19: | Line 19: | ||
== What are differences between Toll Manufacturing and Contract Manufacturing ? == |
== What are differences between Toll Manufacturing and Contract Manufacturing ? == |
||
In practical terms, these are just two different names for the same thing. There may be different conventions in different industries. In the food & beverage manufacturing business, I have seen the term toll manufacturing come up, rather than contract manufacturing. That is only anecdotal though. A more important consideration is whether the contract manufacturer is operating on a turnkey or consignment basis. A turnkey contract manufacturer (the more typical arrangement) will buy the raw materials to be used in the production process and own the inventory, including finished goods. A consignment contract manufacturer does not take title to raw materials, work in progress or finished goods; the contracting party retains title throughout the process. <small><span class="autosigned">— Preceding [[Wikipedia:Signatures|unsigned]] comment added by [[User:Robillard|Robillard]] ([[User talk:Robillard|talk]] • [[Special:Contributions/Robillard|contribs]]) 00:00, 31 March 2011 (UTC)</span></small><!-- Template:Unsigned --> <!--Autosigned by SineBot--> |
In practical terms, these are just two different names for the same thing. There may be different conventions in different industries. In the food & beverage manufacturing business, I have seen the term toll manufacturing come up, rather than contract manufacturing. That is only anecdotal though. A more important consideration is whether the contract manufacturer is operating on a turnkey or consignment basis. A turnkey contract manufacturer (the more typical arrangement) will buy the raw materials to be used in the production process and own the inventory, including finished goods. A consignment contract manufacturer does not take title to raw materials, work in progress or finished goods; the contracting party retains title throughout the process. <small><span class="autosigned">— Preceding [[Wikipedia:Signatures|unsigned]] comment added by [[User:Robillard|Robillard]] ([[User talk:Robillard|talk]] • [[Special:Contributions/Robillard|contribs]]) 00:00, 31 March 2011 (UTC)</span></small><!-- Template:Unsigned --> <!--Autosigned by SineBot--> |
||
== Protectionism? == |
|||
I'm not clear on how contract manufacturing can constitute protectionism. Also, this section lacks wider context. For US-based firms, there can be tax benefits to establishing foreign subsidiaries to conduct contract manufacturing. These go beyond the other pros stated earlier in the article. The main benefit of such an arrangement would be the deferral of tax on the profit earned on the manufacturing function by the subsidiary. Protectionism could be worked in by discussing how countries have tried to make it cumbersome or costly to restructure manufacturing operations of domestic companies by establishing contract manufacturing subsidiaries. An example of this would be Germany's exit charge laws. |
|||
Revision as of 00:09, 31 March 2011
Misspelling: "qoute"
Different between Business Model of Sourcing and Contract Manufacturing
What is the difference between characteristics of Sourcing and Contract Manufacturing? How does Contract Manufacturing bring more ecnomical value compare to source? Who are Contract manufacturing in Automotive Sector? -Selva
difference to outsourcing?
What is the difference to outsourcing? --Saippuakauppias ⇄ 18:41, 29 October 2007 (UTC)
Differences between Outsourcing and Contract Manufacturing
Outsourcing usually refers to labor, such as a call center. Contract manufacturing involves producing an item. - MSQ.
What are differences between Toll Manufacturing and Contract Manufacturing ?
In practical terms, these are just two different names for the same thing. There may be different conventions in different industries. In the food & beverage manufacturing business, I have seen the term toll manufacturing come up, rather than contract manufacturing. That is only anecdotal though. A more important consideration is whether the contract manufacturer is operating on a turnkey or consignment basis. A turnkey contract manufacturer (the more typical arrangement) will buy the raw materials to be used in the production process and own the inventory, including finished goods. A consignment contract manufacturer does not take title to raw materials, work in progress or finished goods; the contracting party retains title throughout the process. — Preceding unsigned comment added by Robillard (talk • contribs) 00:00, 31 March 2011 (UTC)
Protectionism?
I'm not clear on how contract manufacturing can constitute protectionism. Also, this section lacks wider context. For US-based firms, there can be tax benefits to establishing foreign subsidiaries to conduct contract manufacturing. These go beyond the other pros stated earlier in the article. The main benefit of such an arrangement would be the deferral of tax on the profit earned on the manufacturing function by the subsidiary. Protectionism could be worked in by discussing how countries have tried to make it cumbersome or costly to restructure manufacturing operations of domestic companies by establishing contract manufacturing subsidiaries. An example of this would be Germany's exit charge laws.