In October 2023, IES announced a new partnership with Innovent Technologies, LLC, a specialized contract manufacturer known for their excellence in assembling and testing semiconductor manufacturing tools and equipment.
Innovent's Vertical Integration Strategy with Outsourcing Key Subsystems
What is meant by vertical integration, and can you benefit by engaging with a contract manufacture to fabricate your components, build your subsystems of larger production tools and equipment? The traditional definition of vertical integration is heavily geared toward operational and production benefits such as:
- Cost reduction across various parts of production
- Tighter quality control
- Improved flow and control of information across the supply chain
- Better control over production volume
Contract Manufacturing with Innovent
Innovent specializes in being a contract manufacturer that can balance two key things well:
- They fit into a manufacturing model of small to medium size products or system production lines that are largely vertically integrated. Innovent doesn't compete with customers in any way, They have a robust supply chain with "large company" processes that can be matched to the customer’s processes, and they offer production with only one degree of separation from larger processes. The customer still controls everything.
- Innovent caters to numerous customers with common expectations but wildly dissimilar technologies and products. Their proven vertical integration strategy addresses the complexities of these types of business arrangements.
Innovent's contract manufacturing projects start with developing a healthy and collaborative customer relationship. They understand that the best way to serve our customers is to understand their business and products. With the best, longest-lasting customers, business and financial issues are addressed at the highest levels of both organizations to ensure there's an ideal fit. They work with discrete PO’s, Blanket PO’s, and/or multiyear Manufacturing Agreements. Typical content includes products covered, pricing model, terms, and order quantities. Innovent customer meetings alongside IES Technical Sales, and quarterly business reviews, will address forecasts, production status, Innovent & supplier performance, ECO’s, engineering value adds, and cost reduction.
Additional services offered are min/max Inventory level, liability, product quality & qualification, packaging, and shipping (direct to customers if preferred), spares and repair support. Innovent assigns a specific engineer at the onset of the relationship. This single point of contact, backed by the support of the entire organization, provides an unparalleled level of service. They are experts in cost reduction through manufacturing process refinement and product redesign.
Precision Machining from Innovent
At a component level, Innovent specializes in transforming aluminum, stainless steel, or other exotic metals into precisely machined components. Precision machining continues to be a core competency and still differentiates Innovent from many competitors. If secondary processes such as polishing and plating are required, they perform some of these functions in-house. Alternatively, they have long-standing relationships with suppliers that specialize in these services. Innovent is also an expert in additional processes that require welding, adhesion, and applying thermal compounds. The Innovent breadth of competencies require a very specific set of skills and expertise which is where most conventional machine shop capabilities end. They understand that customers’ products have additional requirements that very few contract manufacturers are in the unique position to offer.
Complex Assemblies from Innovent
Innovent can produce complex assemblies ranging from box-builds and electro-mechanical modules to complete system integration and validation. All of this is done under one roof which minimizes cycle time, handling, and transport costs.
ISO 5 and ISO 6 Clean Rooms
Innovent's clean room offers ISO 5 and 6 level of cleanliness. This advanced level of cleanliness is critical for the manufacturing process requirements associated with optics, semiconductor and robotics components and assemblies. Operations such as final assembly, calibration, leak check and inspection are capabilities offered in the white room. Additional services including DI water clean, N2 dry and vacuum sealed, and clean packaging are offered in the clean room.
If your manufacturing process is vertically integrated but you have one (or more) critical subsystems, you may benefit from Innovent’s unique set of contract manufacturing and small-scale vertical integration. You will have total insight into every step of our production, and our support processes will be a 100% match to yours. You sustain your vertical integration strategy while “smoothing out” the little bumps in production that can easily distract you from the bigger picture.
The original article can be found on Innovent's website here.