Introduction
The primary difference between a manufacturing department and an OEM is that the manufacturer makes and sells the product, and the OEM makes markets and services the end product. For example, Ford is an OEM when it sells complete cars and trucks, but the manufacturing department delivers engines to other manufacturers after the sales department obtains the orders.
Why should an OEM provide services directly to the end user?
Unless you are an aircraft jet engine manufacturer or are collecting warranty cards from your end-user customers, you probably do not know who has purchased your product. You cannot determine how satisfied the end user is with your product or the service they receive, and you will lose the customer insights about their future needs. And the lifetime value of service sales and profits frequently exceeds the sales and earnings of just the initial sale.
The OEM is all about post-sales service and support.
To read more about the role of Field Service in Manufacturing, click here.
To read the complete article
This article was published on July 13, 2021, on Thomas Insights. Read the article here.
About Middlesex Consulting
If you need additional about this topic, the author of this article can help you with your evaluation. Sam Klaidman is the founder and principal adviser at Middlesex Consulting. He helps his B2B product manufacturing clients grow their services revenue and profitability by applying the methodologies and techniques associated with Customer Value Creation and Customer Experience professions to assist his clients in designing and commercializing new services and the associated business transformations. Contact Sam here.
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