As OEMs grow, their products and production processes inevitably become more complex. What may have once been a manageable bill of materials (BOM) filled with individual purchased parts can quickly evolve into a workflow bottleneck. That’s when it’s time to step up from simply sourcing components to leveraging turnkey manufacturing and assembly solutions.
What Is Turnkey Manufacturing and Assembly?
Turnkey manufacturing and assembly is a comprehensive approach where a single partner manages the entire process of manufacturing, assembling, and delivering complete units ready for integration into a higher-level build.
Instead of sourcing parts from multiple suppliers, managing complex supply chains, and handling in-house assembly, companies can rely on a trusted manufacturing partner to handle everything — from fabrication and sourcing to integration, testing, and final delivery.
A turnkey assembly might include some or all of the following:
- All structural and mounting hardware
- Sheet metal and machined components
- Wiring, cable routing, and connectors
- Actuators, motors, or control panels
- Serial labeling, traceability, and documentation
Benefits of Moving Beyond Purchasing Parts
When it comes to scaling production and staying competitive, OEMs are discovering that outsourcing assemblies delivers far more than just convenience — it creates a real operational advantage.
By partnering with an experienced manufacturing and assembly provider like PEKO, companies can unlock a range of strategic benefits that improve efficiency, quality, and profitability.
Key advantages include:
- Fewer Part Numbers to Manage → One assembly equals one purchase order — no more juggling dozens of line items or coordinating with multiple vendors.
- Faster Builds on Your Floor → Pre-assembled and tested units arrive ready for integration into your final product or system, plugging seamlessly into your workflows.
- Better Quality and Consistency → Turnkey assemblies are built in controlled environments by trained technicians following strict work instructions, ensuring reliable and repeatable results.
- Reduced Labor Costs → By outsourcing manufacturing and assembly, your internal teams can focus on high-value tasks like design improvements and product development.
- Lower Risk of Missing Parts → Complete assemblies include all fasteners, cables, brackets, and labels—eliminating the risk of missing components or production bottlenecks.
Outsourcing assemblies is a smart strategy that enables OEMs to consolidate procurement, reduce in-house assembly time, and focus resources on higher-level integration and innovation.
When Should You Transition to a Turnkey Manufacturing and Assembly Solution?
If any of these challenges sound familiar, it may be time to step up to a turnkey manufacturing model:
Your internal teams are spending more time on assembly than on innovation or product improvements.- You’re approaching (or exceeding) in-house capacity limits, leaving little room for scaling production.
- You’re experiencing increased quality issues, errors, or inconsistencies on the production floor.
- You’re managing too many small vendors for subcomponents, adding complexity to your supply chain.
- You’re preparing to launch a new product that’s highly complex or labor-intensive to assemble.
By outsourcing both component manufacturing and assembly, OEMs can reduce these pressures, improve operational efficiency, and deliver better products to market, faster.
Why OEMs Partner with PEKO for Contract Manufacturing and Assembly
PEKO has decades of experience providing turnkey manufacturing and assembly solutions for OEMs across industries. We support these programs by:
- Fabricating most components in-house
- Managing BOMs and inventory
- Creating work instructions and travelers
- Performing final integration and functional testing
- Packaging assemblies for integration or shipment
Whether it’s a complex mechanical assembly or a precision-engineered subassembly, our team is equipped to help you drive efficiency and meet your production goals.
Start Your Manufacturing and Assembly Program with PEKO’s Turnkey Services
If you’re ready to simplify your production process, reduce costs, and improve product quality, PEKO is here to help. Our turnkey manufacturing and assembly solutions allow OEMs to focus on what they do best — innovation and growth — while we handle the details. Contact us today to learn how we can help with your next component, subsystem, or turnkey assembly program.
Want to learn more? Download our free guide to learn how outsourcing assembly and system integration can help you cut costs, boost productivity, and accelerate your time to market.
