Outsource Strategy Engineering Functions  

 

Outsource Strategy

To achieve the value of Solutions Groups outsourcing strategy, management must turn traditional model of outsourcing engineering services upside-down. Here is a comparison of traditional outsource model for engineering services and SGI outsource partnership model for engineering services.



Traditional Outsource Model

SGI Outsource Model








Most companies staff to 80-90 percent of full capacity and scramble to get the remainder completed using contractors, staffing agencies and small service bureaus.





Balance of Risk, Utilization and Future Workforce

Traditional Outsource Model

SGI Outsource Model








In the US the average age of a quality pcb designer is over 50. SGI is investing in the future through training a young workforce domestically and globally.





Assumptions on Intellectual Property

Traditional Outsource Model

SGI Outsource Model








Though there are some slight differences in process, most pcb design, library development and other engineering services do not differ greatly from company to company, and do not generate profit.





Stability during Peaks

Traditional Outsource Model

SGI Outsource Model








SGI's business model allows for allocating risk of staffing and utilization across a broad spectrum of industries to allow for much less drastic peaks and valleys in work load disparity. As an Engineering firm, rather than a 'staffing agency' SGI creates a value-add, win/win partnership for an engineering services solution.







 

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