Friday, 13 November 2015

What is the Difference Between OEM, OBM and ODM?



OEM (Original Equipment Manufacturer) manufactures the components or the products that will be bought by a company and then sold under the purchaser’s brand name. OEM is in production, but it can also be found in service such as quality control and delivery. OEM has a responsibility to produce the product they are assigned to make. The products have to meet the needs of the customers.

OBM (Original Brand Manufacturer) is a company that retails their own branded products that are either the entire products or component parts produced by a second company. They sell the goods under their own brand name in order to add value. The OBM will be responsible for everything including the production and development, supply chain, delivery and the marketing.

ODM (Original Design Manufacturer) is responsible for designing a product and also the production of the product. The ODM goes on to sell the products they have designed and produced to wholesalers, they do not sell directly to the market.

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