OEM, ODM, OE full analysis: differences, automotive parts, OE matching, OEM and OEM, OEM and white label
With the increase of settled enterprises, the revenue and profits of many companies have greatly increased. Especially in the field of foreign trade, the performance is quite impressive.
So many companies have launched a vigorous recruitment model, and many newcomers to the industry lack experience and knowledge in the field of auto parts. For example, the basic knowledge of OEM, ODM, OE, OEM, white label, etc. has not been fully understood yet.
Therefore, based on "What do the OE number and OEM of automotive parts represent respectively?", the Auto Parts Fast Track aims to popularize some basic knowledge to facilitate more practitioners.
OEM, ODM, and OE are three very important terms in the automotive parts, automotive components, and even the entire manufacturing industry. What is the difference between them? What is OEM in the automotive industry? What do OE matching and OE samples mean? This article will use the simplest and most understandable language to answer these questions one by one for everyone.
What is the difference between OEM and ODM?
Simply put, the core difference between OEM (Original Equipment Manufacturer) and ODM (Original Design Manufacturer) is who owns the "design rights".
- OEM (Original Equipment Manufacturer): can be understood as "contract manufacturing". The brand owner (Party A) owns the complete design and scheme of the product, and then hires another factory (Party B) to produce according to this design. The factory is only responsible for manufacturing and does not participate in design. For example, Apple designed the iPhone and then hired Foxconn to produce it, which is an OEM manufacturer here.
- ODM (Original Design Manufacturer): can be understood as "OEM production". The factory (Party B) is not only responsible for production, but also for product research and design. The brand owner (Party A) has identified a mature design proposal from the factory and directly purchased it, attaching their own brand for sale. For example, a certain brand wants to launch a new Bluetooth earphone, but they do not have the design ability themselves. Therefore, they find a factory that specializes in designing and producing earphones, adopt their design scheme, and label their own brand. This factory is an ODM manufacturer.
Simply put, OEM is "you design, I produce"; ODM is' you create the brand, I design and produce '. In terms of cooperation depth, ODM involves design and production, while OEM mainly focuses on the production stage.
What does OEM refer to in the automotive or auto parts industry?
In the automotive industry, OEM usually refers to "original equipment manufacturers", also known as "OEMs" or "vehicle manufacturers", such as Toyota, Volkswagen, General Motors, etc. These companies are responsible for the overall design, research and development, brand marketing, and final assembly of automobiles. They will purchase engines, transmissions, seats, electronic systems, etc. from numerous component suppliers, who produce them for the entire vehicle factory, which is the OEM model of the automotive industry. Therefore, when you see "OEM in the automotive industry", it may refer to the OEMs themselves, or it may refer to the model of providing supporting components for these OEMs.
What does OEM mean?
OEM stands for Original Equipment Manufacturer, which literally translates to 'Original Equipment Manufacturer'. It refers to a company manufacturing products for another company based on their design and specification requirements After the product is produced, it will be sold under the brand of the commissioning party, and the manufacturer's own name will not appear on the product. Commonly known as "OEM" or "OEM production".
What is the difference between ODM and OEM?
- What is the difference between OEM and ODM? The essence of the problem is the same. The difference lies in:
- Core Capability: The core capability of OEM manufacturers is strong manufacturing ability; The core capabilities of ODM manufacturers are research and development, design, and manufacturing.
- Intellectual Property: In OEM mode, the intellectual property of the product belongs to the brand owner; In ODM mode, design copyright usually belongs to the manufacturer (ODM vendor).
- Product form: OEM produces products designated by the brand owner; ODM provides design solutions that are already available or developed according to customer requirements.
What is OEM hard drive?
Some users may confuse OEM and OEM hard drives in the automotive parts industry.
OEM hard drives, also known as work package drives, are hard drives sold directly by manufacturers (such as Western Digital and Seagate) to branded computer manufacturers (such as Dell and HP) for assembling branded machines The main difference between it and the retail version of the hard drive is:
- After sales service: OEM hard drives usually do not enjoy the manufacturer's personal warranty service, and the warranty is the responsibility of the entire machine manufacturer (such as Dell) If purchasing OEM hard drives separately, there may be a situation where there is no official warranty.
- Packaging and Accessories: OEM hard drives generally do not come with retail packaging boxes, instruction manuals, or brand stickers.
- Software support: Retail hard drives often come with management software, while OEM hard drives typically do not provide it.
- Price: Due to the elimination of packaging, distribution, and warranty costs, OEM hard drives are usually cheaper than retail versions.
Is OEM outsourcing or OEM?
OEM is both a contract manufacturer and often referred to as OEM, and these two statements are not contradictory.
- From a production perspective, it is "OEM": OEM manufacturers accept commissions to process and produce on behalf of other brands.
- From a brand perspective, it is "OEM": the products produced are labeled with the brand of the client for sale.
Therefore, OEM can be accurately described as "contract manufacturing using the client's brand and technology".
What are OEM and ODM?
This can be seen as a synthesis of the previous questions.
- OEM (Original Equipment Manufacturer): The brand provides design solutions, the manufacturer is responsible for production, and the products are labeled with the brand's name.
- ODM (Original Design Manufacturer): The manufacturer provides design solutions and production capabilities, and the brand sells under their own brand.
Is OEM or ODM?
The term 'OEM' can apply to both OEM and ODM, as the final product is labeled with the brand name of the brand owner. But more precisely:
If the brand designs it themselves and only allows the factory to produce it, this is called OEM branding.
If the factory is well-designed, the brand can directly use the solution for OEM branding, which is called ODM branding.
In daily communication, both may be broadly referred to as "OEM production".
What can I do after unlocking OEM?
The 'OEM unlock' here specifically refers to a developer option on Android phones or devices. It is different from the OEM concept in the manufacturing industry. After enabling "OEM Unlock", the main function is to allow users to:
- Unlocking the bootloader: This is a prerequisite for deeper operations.
- Flash in custom ROM: Install unofficial mobile operating systems.
- Rooting the phone: obtaining the highest system permissions, which can modify system files, delete pre installed software, etc.
- Install third-party recovery: for backup and flashing.
In short, OEM unlocking opens the door for advanced operations such as phone flashing.
What is the difference between OEM, ODM, and OBM?
Another important model besides OEM and ODM is OBM (Original Brand Manufacturer).
- OEM: OEM production, no brand, no design (or design rights belong to the commissioning party).
- ODM: Design and manufacture, no brand (brand belongs to the commissioning party).
- OBM: With its own brand, design, and manufacturing capabilities, it is a fully independent brand manufacturer For example, Huawei and Xiaomi have developed from early ODM/OEM to typical OBM enterprises today. The OBM model requires companies to register their own trademarks and expand their markets.
What does automotive OEM mean?
In the automotive industry, OEM (Original Equipment Manufacturer) refers to the "original equipment manufacturer" of a car, which is commonly referred to as the "host factory" or "vehicle manufacturer", such as Mercedes Benz, BMW, Toyota, etc These companies are responsible for the overall design, branding, and final assembly of automobiles. They outsource the production tasks of engine, gearbox, headlights and other components to professional component suppliers, who produce according to the design standards and quality requirements of the host factory. This cooperation model is called OEM model. Therefore, automotive OEM can refer to both the OEM itself and the production model that is designed to support the entire vehicle.
What does the wiper category OE matching mean?
OE matching "refers to components produced by the same factory that provides original parts for automotive OEMs These accessories usually do not carry the brand trademark of the host manufacturer, but are completely identical to the original parts (OE parts) in terms of production standards, materials, and processes. For example, if a certain brand of wiper is adopted by the Mercedes Benz factory, then the same type of wiper produced by the factory for the after-sales market can be called "OE matching" parts. It guarantees the same quality as the original parts.
What does OE sample mean?
OE sample "usually refers to a sample that meets the" Original Equipment "standard during the automotive production or component development process When purchasing or quality inspection, it is required that the samples provided must match the original equipment (OE) exactly This ensures that the subsequent mass-produced components maintain consistency in specifications, performance, and quality with the originally designed or factory installed components.
What does OE mean?
OE is an abbreviation for "Original Equipment", meaning "original equipment" or "original accessories". In the automotive industry, it specifically refers to the original parts provided by automobile manufacturers (OEMs) for their specific vehicle models during the production of automobiles These parts are exactly the same as those installed when the vehicle leaves the factory, and their quality has been strictly controlled Each original component has a unique "OE Number", which is determined by the host factory for precise identification and ordering Therefore, OE emphasizes the "original factory matching" attribute of the components.
I hope the above content can be helpful to everyone. If you are looking for an OE number, you can directly search in the search box on the current page.