Contract manufacturers enhance their business models in a competitive market.
Contract manufacturers uphold a major portion of the natural products industry, allowing companies to be innovative and flourish in a variety of market climates. Steve Holtby, president and CEO of Soft Gel Technologies, Inc., Los Angeles, CA, says, "Companies usually seek the services of a contract manufacturer because they want the benefits of having a manufacturing operation without the overhead or the headache.
Over the years, contract manufacturers’ business models have evolved and many have adopted the idea of "lean manufacturing." The term, derived mostly from Toyota’s well-known lean production practices, means streamlining processes, increasing efficiency, wasting nothing and squeezing whatever possible from every dollar. This philosophy is definitely still relevant, but now, lean is the standard, and contract manufacturers must take extra steps to make sure their businesses stand out...
