Lapasar
Sourcing & Suppliers

Original Equipment Manufacturer (OEM)

Also known as: OEM

An original equipment manufacturer (OEM) is a company that produces parts or products that are used in, or sold as, another company's finished goods.

WhatsApp us rfqme@lapasar.com

An OEM makes the components or complete products that other businesses buy — sometimes to build into their own products, sometimes to resell under a different brand. In procurement, buying OEM parts means sourcing genuine components made by or for the original producer, as opposed to third-party or aftermarket equivalents.

OEM sourcing matters where fit, warranty and reliability are critical, such as machinery spares and electronics. Buyers weigh the assurance of OEM parts against the often lower cost of compatible aftermarket alternatives, considering warranty terms and total cost of ownership.

Frequently asked questions

What is an OEM?
An original equipment manufacturer (OEM) is a company that produces parts or products used in, or sold as, another company's finished goods.
What is the difference between OEM and aftermarket parts?
OEM parts are made by or for the original producer and match the original specification, while aftermarket parts are made by third parties as compatible alternatives, often at lower cost but with varying quality and warranty.

Explore related across the knowledge graph

GuideSupplier e-invoice readinessA practical way for procurement teams to check whether each supplier can actually issue valid e-invoices — before a rejection stalls a payment.GuideSupplier evaluationHow to assess and shortlist suppliers against structured criteria — so selection is based on evidence and total value, not price or familiarity alone.GuideSupplier managementThe discipline of selecting, onboarding, measuring, developing and governing the suppliers an organisation depends on — across the whole relationship.SolutionBecome a Lapasar VendorSell to enterprise and GLC buyers through Lapasar's managed marketplace, with fulfilment and payment handled for you.SolutionHow to Become a Supplier to Large Corporates & GLCs in MalaysiaA guide for Malaysian businesses that want to sell to large corporates and GLCs — register, get MOF-ready, list on a B2B marketplace and get paid early.SolutionProcurement for SMEs in MalaysiaProcurement for Malaysian SMEs without a procurement department — one account for 2M+ SKUs, credit terms for approved businesses and one consolidated invoice.ToolEarly Payment Benefit CalculatorSee what getting paid in days instead of months is worth to a supplier.ToolFree Procurement Tools & TemplatesEvery Lapasar procurement calculator plus editable RFQ, purchase order, policy and evaluation templates.ToolSupplier Consolidation CalculatorModel the savings from rationalising a fragmented supplier base.TemplateSole Source Justification TemplateAn editable Word form that documents an audit-defensible case for a single-source or direct award.TemplateSupplier Ethics Declaration TemplateAn editable Word declaration setting out conduct, anti-bribery and integrity expectations for suppliers to sign.TemplateSupplier Evaluation TemplateA weighted, criteria-based Excel scorecard to compare and select suppliers objectively.ComparisonBest B2B Marketplace in MalaysiaHow to evaluate B2B procurement marketplaces in Malaysia — owned infrastructure, sourcing depth and enterprise fit.ResearchEnterprise Procurement Case StudiesTwo anonymised Malaysian implementations: RM 19.6M saved, 4,100 hours/month recovered, supplier base roughly halved.ResearchSupplier Consolidation Report 2026What a fragmented supplier base costs and what consolidation returns — concentration benchmarks, per-supplier cost and typical reduction figures for Malaysian enterprises.
Back to the procurement glossary

AI-first procurement software. Live marketplace. Human services.

Put procurement theory into practice

Walk through the AI-first procurement software on your own approval matrix, see the live marketplace behind it, and meet the sourcing team that works your RFQs and reverse bids.

Request a demoExplore the software

Prefer to talk to a real person?

Our team replies fast on WhatsApp and email — no forms, no waiting.

WhatsApp us rfqme@lapasar.com

Operating model · diagram

  1. 01

    AI-first software

    AI-first procurement software for long-tail spend

  2. 02

    Live marketplace

    A live B2B marketplace

  3. 03

    Human services

    Human sourcing and support

  4. 04

    Optional add-on

    Fulfilment support for merchants