Electronic Contract Manufacturing

Lax internal controls of IP have led some companies to make business decisions limiting their expose and risk by reducing the types of products they outsource to a contract manufacturer or by limiting the amount of manufacturing they are willing to do there. For some of these companies this type of policy will impact on their ability to scale and grow despite knowing that it would be much more cost effective and flexible to work with a contract manufacturer.

The top 5 recommendations;

• Document your IP policies and protect yourself from infringement, theft and the future disputes.
• Identify your IP assets and the risks involved to your business.
• Communicate this with all your stake holders . Your team needs to understand the absolute importance of your IP and the need for it to be protected.
• Make sure the right controls are in place both internally and with the CM and that they provide enough protection.
• Do your homework. Find a contract manufacturer who will protect your IP and put measures in place to ensure your product design or other proprietary information is secure.