OEM Meaning: Why is it Important?

The right equipment and technology are critical to keeping your business running efficiently. With so much of the world reliant on digital infrastructure, you want to be able to get the tools you need and make the most of them. You may have seen advice to take advantage of OEM equipment when buying for your company. To do that, you need to understand the OEM meaning and how to make the system work for you.

OEM MEANING
To see all the ways, you could give your team a boost with an OEM, you have to know what it is. OEM stands for "original equipment manufacturer" and refers to the company that makes your components or equipment. In the world of IT, you probably have devices and parts from several different OEMs.

An OEM will often bundle all the components together into the configurations you need. They can also sell you parts in the quantities you want for your specific purposes. This creates convenience and flexibility for your team since you can control how much work must happen onsite. Working with an OEM or a company that has relationships with OEMs, such as TSP, can go a long way in simplifying how your business addresses technological needs.

OEM BENEFITS
Working with an OEM brings some great benefits to your organization that will improve the way you operate and help your bottom line. Embracing these opportunities could help put your company in a position to grow and expand in the future, so as you explore the OEM meaning, it's worth seeing how it matters for your goals.

COST SAVINGS
The first benefit is one that most companies are looking for: OEMs can save you money. Most OEMs sell directly to other businesses. A business-to-business sales model is usually less costly to support, so the OEM doesn't have to pass extra costs along to you. You can also spend money on just the components or bundles you need, avoiding extra expenses that come with other tech solutions.

TIME SAVINGS
Time is another valuable resource you gain when you work with an OEM. It can be hard to track down all the components you need from various sources, whether you are trying to build new equipment or maintain your existing tools. An OEM can explain exactly what's available for you, so your IT team doesn't spend a ton of time sourcing materials.

You can make the sourcing process even simpler by turning to TSP. We have an extensive inventory of parts from the top OEMs. Our team can help you decide what you need and get it to your staff in a timely fashion. Not only does this save time for employees who don't have to worry about finding the right parts, but it also serves to reduce downtime if you have critical equipment that needs repairs.

SUPPORT
You can also look forward to thorough support when you deal with an OEM. These companies want to be known as sellers of high-quality, long-lasting equipment that performs reliably. To ensure this, they put a lot of effort into support. With an OEM, you know exactly who to turn to for repairs or even replacements.

This benefit is especially important if your company uses a significant amount of legacy equipment. As hardware and software age, they are often phased out and replaced by newer technologies. Upgrading each time something new hits the market can be expensive, so it makes sense that many businesses try to hold on to the technology they've already invested in for as long as possible.

TSP can assess your company's systems and needs and show you how to get the most support from OEMs to keep your legacy systems going. The longer these systems work well, the less money you need to spend.

OEM MEANING vs AFTERMARKET MEANING
When discussing the OEMs it's also important to acknowledge aftermarket manufacturing and services. This is the opposite of OEM, where instead of having the original manufacturer of a component continue the relationship to maintain and replace important parts, a third-party manufacturer can offer something that seems comparable.

In general, there are several risks with aftermarket manufacturing that you don't need to worry about when relying on an OEM. A major concern is quality. Most OEMs are well-known in their field and have a reputation to uphold, so they do everything they can to ensure their name is only attached to quality products. This includes sourcing quality materials and creating a careful manufacturing process.

Aftermarket manufacturers are usually less well-known and don't have the same kind of reputation management pressures to assure higher performance. These companies also may not have the same resources and access to suppliers. While many aftermarket IT components are perfectly serviceable, you don't have the same guarantees of quality.

You also run the risk of less support when dealing with aftermarket supplies. OEM manufacturers are likely to offer longer warranties and service contracts on their components than aftermarket suppliers. This is important if you need to replace something. While an OEM part may have cost more upfront, it could pay for itself if it has a good warranty. With an aftermarket part, you may need to pay for replacement costs out-of-pocket, which could end up costing you more than the OEM part would have.

EMBRACE THE OEM MEANING TO IMPROVE YOUR BUSINESS
As you focus on growing your company and improving operations, you don't want to have to worry about whether your team has access to the right parts and equipment. You want the assurance that everyone will have reliable tools to turn to in every scenario.

You can gain this confidence with an OEM. Once you understand the OEM meaning, it's easy to see how using these companies for your IT equipment and support needs makes more sense. You can save money and time and improve reliability for all your systems. If you are still trying to figure out the best way to create or navigate an OEM relationship, let TSP help. Reach out today to get the solutions you need.