We have Supply Chain function! But what we need is VENDOR DEVELOPMENT TEAM!

Last one month I am actively assisting 2 startups in the area of EV Technology and chargers. Both of them have designs which have considerable amount of custom parts apart from electronics components. The custom parts include Cable harness, Sheetmetal, Plastics and Magnetics.

Designers have given the data to the EMS partners for a quote. But getting a well rounded quote has been a challenge. The challenges we have faced are;

1. For custom parts the EMS partners are unable to quote unless the documents are 100% perfect. But a new product will never have that till the product is tested & certified. (It is all together another matter that design teams are also sloppy) especially in the case of Sheetmetal, Plastics and Magnetics parts.
2. While the product designers don't want to reveal the name EMS partners say they can get a real pricing only if they get a "Letter Authorisation" from the product owner. I am puzzled here as for a budgetary quote why LoA is needed, I don't understand.
3. Designers have designed products without really worrying about the manufacturing process an issue I see in almost all the HW products. Here is a sample; There is a cable harness which has main spline carrying high current and the branches carry lesser current. They have specified the cable has to be IP67 compliant. They also want the branch cable connections have to be IP67 compatible but that can be achieved only if an Over Moulding is done which calls for special process including a custom tool development. Most EMS partners prefer to use heat shrink cable which will not good for IP67
4. All EMS vendors do magnetics internally as the Value Add is high leading to a good margin. But the moment you want UL and other safety approvals they are stumped and have no clue how to cost that in variably cost them high (to the extent of 100% more)!
5. In 1985 when CDOT was formed Indian Electronics Industry was very low tech and manual. One of the first things that CDOT management did was to set up a Vendor Development team (which was almost 125+ strong at one time) and design engineers have to work with this team get the parts for their board and system. Remember designer can't specify and run away. They are responsible for developing the part if readymade part is not available.
6. When I was working with the big MNC EMS partners they all had excellent Component Engineering team who will understand from the designers and develop parts. This is not there in Indian EMS partner today either with EMS or with the designers. We have only commodity purchase team not real vendor development. Interestingly, in Chennai I have seen Auto majors have excellent vendor development teams as the have to develop only custom parts for new cars.
7. Finally with the rapid change of manufacturing especially in the mechanical area (3D printing and Laser cutting) designers need to understand the manufacturing process and design the product correspondingly. I saw one design which if it has to be done in conventional tooling need a complicated tool and the designer was under the impression that for large volume also will be 3D printed!
8. All this boils down to design team don't have Systems Engineering Professional who understands these stuff and guides them. They don't want to pay as the designers think they know everything (I had this experience just 2 weeks back!). Finally they blame the eco system, but really it a capability issue.