Computer Aided Engineering: An Emerging Trend in Engineering Outsourcing
Engineering outsourcing has always attracted manufacturers as a cost-effective opportunity to leverage their capabilities and develop competitive products in the market. Since 80’s manufacturers took the route to transfer blue-collar manufacturing activities to lower cost regions of the world, and today, it has become one of the important decisions amongst most of the manufacturers.
However, the outsourcing process for engineering activities has become much more matured with increased number of service providers emerging across the globe. Apart from low cost advantage, outsourcing opens the opportunity to discover global talent pool to assist in product innovation.
The most common engineering activities being outsourced by manufacturing firms are typically the ones that are not considered as core. Some of these include hand drawn sketch to CAD conversion, CAD drafting, 3D modeling, technical documentation and manufacturing support. However, with increasing pressure on manufacturers to reduce the product development time and costs, a new trend in engineering outsourcing is shaping up, which mainly includes computer aided simulations for product testing.
Despite several concerns from companies related to fear of loosing control over design processes, there is an interesting shift in offshore work that also consists of virtual product testing through simulation tools.
The continuous research and development in improvising simulation tools have made it possible to shift their use from purely academics to mainstream product development as well. These tools have become mature and reliable enough to perform product testing with least possibility of errors. While these techniques have already attracted manufacturing organizations across the globe, they increase overhead costs due to the requirement of skilled professionals and infrastructure.
For smaller firms working against stiff competition, this investment seems to mess up the ROI math and increase the product development costs to a great extent.
Research shows that outsourcing virtual product testing activities significantly helps in reducing the product development costs as there is no special need of setting up the infrastructure and bring-in skilled professionals.
Some other benefits of outsourcing these activities include:
Access to global talent pool to help in product innovation
Value addition to build better products at low cost
Reduction in time-to-market
Extending the organization’s capability with less investment
A survey conducted by Barry-Wehmiller International Resources (BWIR), shows that new product development is emerging as the top service in engineering outsourcing industry followed by traditional CAD services. While majority of the organizations have begun setting up their own captives offshore to deal with computer aided engineering activities, the outsourcing trend is clearly taking a significant shift.
Small and mid-scale organizations should be the first to take the note of this trend to keep moving with the competitive market.
For more information visit: Hi-Tech CAE.com
Mehul Patel specializes in handling CFD projects for Automobile, Aerospace, Oil and Gas and building HVAC sectors. He works as a CFD consultant with Hi-Tech for the past 5 years and has successfully executed numerous CFD projects of high complexities. He is an expert in turbo-machinery, gas dynamics, Combustion, Fluid Dynamics, multiphase flow analysis, computational fluid dynamics etc.