White Paper - Cost Modeling in EMS: Best Practices for Overhead and Markup

Estimating the cost of a potential project can be the reason you win or lose a job. In the electronics manufacturing services (EMS) industry, there are common situations where a Business Owner, Chief Financial Officer (CFO) and General Manager have different approaches to a cost model. As a result, these different approaches create different outcomes for the estimated cost of a job. Usually, this is because there is no consistent model to estimate the cost and the markups that should be applied based on the specifications of the job and customer requirements. It is important to implement an accurate cost model to both provide competitive quotes and to ensure accuracy and consistency of quotes delivered to customers.

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