Partnering with an ODM overcomes resource limitations and accelerates innovative product development

The Internet of Things (IoT) revolution transforms how we work, live and secure our world. Connected devices now monitor factories, control building systems, secure perimeters and optimize operations in processing industries. Behind this transformation stands an often-overlooked partnership: OEMs collaborating with original design manufacturers (ODMs) to deliver the next generation of IoT sensing devices and controls.

The industrial automation and control systems market was valued at $226.76 billion in 2025 and is projected to reach $504 billion by 2033, growing at a compound annual growth rate (CAGR) of 10.5% (Grand View Research, January 23, 2026). The IoT device management market alone will grow from $8.84 billion in 2025 to $43.82 billion by 2033, expanding to 21.8% CAGR (Grand View Research, February 10, 2026). This explosive growth creates unprecedented opportunities and equally significant challenges for OEMs developing IoT devices and controls.

The Technical Challenge: The Growing Complexity from IoT Manufacturing to IoT Device Security

Today’s IoT devices and controls must meet demands for innovative, advanced functionality. In addition, they must deliver reliable performance while meeting stringent size, power, environmental and security requirements.

• Advanced Performance
  IoT devices need enhanced sensing functionality. The devices must incorporate greater analysis and decision-making power using AI.
• Miniaturization: Packing More into Less Space
  Modern IoT applications demand ever-smaller form factors, such as industrial sensors that must fit into tight spaces on factory equipment or building automation controls that must integrate discreetly into architectural elements. Achieving dramatic size reduction requires expertise in custom ASIC design, advanced PCB layout optimization, thermal management in constrained spaces and mechanical engineering that efficiently integrates multiple subsystems.
• Ultra-Low Power: Years of Operation
  Battery replacement drives costs and limits deployment options. Many IoT applications require sensors and controls that operate for years on a single battery charge or through energy harvesting. This demands sophisticated power management for microampere power budgets, including low-power circuit design, intelligent sleep mode management and efficient wireless protocols.
• Environmental Resistance: Surviving Extreme Conditions
  IoT devices and controls operate everywhere — from arctic cold to desert heat, underwater to mountaintops, and clean rooms to chemical plants. They must withstand temperature extremes, humidity, electrostatic discharge (ESD), vibration and shock in industrial and transportation applications and exposure to corrosive chemical environments.
• Noise Immunity: Clean Signals in Electrically Harsh Environments
  Industrial IoT devices and control systems often operate in electromagnetically hostile environments. Factory floors contain motors, drives and high-power equipment that generate electromagnetic interference (EMI). Maintaining signal integrity requires advanced circuit design with proper shielding and filtering, careful PCB layout that minimizes noise coupling and robust communication protocols with error correction.
• IoT Device cybersecurity: Protecting Connected Devices from Threats
  Connected devices and control systems are susceptible to cyber-attacks. Modern IoT devices and controls require secure boot processes, encrypted communications, secure key storage, regular security updates, and network segmentation to prevent breaches or at least limit their impact as part of an IoT device security plan

The Resource Gap: Why OEMs Struggle with In-House IoT Manufacturing

All these technical requirements represent a tall order for any company seeking to launch a new IoT product onto the market. Meeting all of these requires a wide range of expertise, which few OEMs possess in-house. Developing market-ready IoT devices and controls necessitates electronic design engineers, custom ASIC designers, embedded software developers, mechanical engineers, RF engineers, cybersecurity specialists, regulatory compliance engineers and manufacturing engineers. Building these capabilities internally for a specific project burdens project costs and can take years.

Without deep expertise, development teams will struggle with unexpected challenges, miss regulatory requirements until late in development or contend with manufacturing yield issues. These problems delay launches, inflate costs and can even force project cancellation.

How ODMs Bridge the Gap: The DENSO WAVE Advantage Among IoT Device Manufacturers

As an Original Design Manufacturer (ODM), DENSO WAVE brings resources and expertise that enable OEMs to bring innovative IoT devices and controls to market more quickly. As part of DENSO Corporation, a $50 billion global automotive supplier, DENSO WAVE combines cutting-edge technology development with manufacturing excellence and supply chain power.

Deep Technical Expertise

DENSO WAVE’s comprehensive capabilities spanning multiple disciplines include:

• Automotive sensor and security expertise: laser sensing technology, fuel-air ratio technology and access control technology
• Electronic design: advanced circuit design, component selection and PCB layout optimized for performance and manufacturability
• Custom ASIC design: proprietary chips tailored for specific applications, enabling unique functionality and competitive differentiation
• Embedded software: real-time operating systems, device drivers and application firmware designed for reliability and efficiency
• Mechanical design: enclosures, thermal management solutions and integration with OEM products
• Cybersecurity: implementation of secure boot, encrypted communications and threat mitigation strategies

Drawing on its automotive heritage, DENSO WAVE delivers products with excellent reliability and rugged performance. The company has proven expertise in designing IoT devices and controls that withstand extreme conditions. DENSO WAVE manufactures products using the highly respected Toyota Production System principles. Rigorous quality assurance processes ensure defect-free products, and a continuous improvement culture drives innovation and efficiency.

In addition, long component delivery times can increase project costs and delay product launches. DENSO WAVE mitigates that risk. Its $50 billion parent company provides procurement power, ensuring component availability even during supply chain disruptions. Long-term partnerships with tier-1 suppliers ensure quality and reliability, and economies of scale reduce component costs for OEM partners.

Proven Results: Successful DENSO WAVE Partnerships, Including IoT Device Development

We can see examples from many engagements where an ODM partnership approach accelerated time-to-market and enabled far more efficient resource use. Here are three product launch initiatives that showcase the advantages of this go-to-market approach.

Moisture Sensing IoT Device Development

An OEM needed a custom, intelligent moisture-sensing device but lacked in-house expertise across all the necessary areas to take it to market effectively. The OEM estimated an 8-12-month internal development schedule. Building on its pre-existing experience in the automotive market with fuel-air sensing technology, DENSO WAVE delivered a fully functional, IoT moisture-sensing prototype in just 10 weeks.

DENSO WAVE’s work resulted in:

• Outcome: 70% reduction in development time and faster market entry
• Product differentiation: Combined sensing with analysis, compact size, low power consumption and easy integration into the control system
• Confirmation of DENSO WAVE’s Value: Extensive expertise in multiple technologies, rapid prototyping capabilities, integrated testing facilities and cross-functional engineering teams

Visualization Technology for Railway Crossings

Another OEM needed to develop more reliable sensing technology than its current inductive sensing technology for railway safety crossings. DENSO WAVE developed an intelligent LiDAR-based system that detects the size and movement of an obstruction, eliminates false alarms caused by vegetation and small animals, and operates under any environmental condition. The LiDAR system yielded:

• Outcome: Reduced safety incidents at customer railway crossings
• Product differentiation: Built-in intelligence for fast response to a hazardous situation, reduced false alarms and accurate detection in both high and low sunlight
• Confirmation of DENSO WAVE’s value: Expertise in LiDAR technology from automotive market experience, enabling the solution of detection challenges and implementation of secure data transmission

Visualization Technology for Airport Security

An OEM for security products needed reliable, intelligent IoT sensing technology for a perimeter airport security system. DENSO WAVE developed a LiDAR-camera combination that performed reliably in heavy rain and dense fog. The device also provided detailed detection with camera pan, tilt and zoom capability. The work culminated in:

• Outcome: More reliable monitoring on airport grounds
• Product differentiation: Innovative fog removal algorithm and detection in any level of light, including interference from direct sunlight
• Confirmation of DENSO WAVE’s Value: Expertise in LiDAR technology and expertise in environmental challenges

All three OEMs needed DENSO WAVE to complement their internal resources.

When to Partner with an ODM

You will want to consider whether an ODM can cost-effectively support your IoT device manufacturing or control development project. Here are some questions to consider:

• Do you need specialized expertise your team doesn’t currently have?
• Are you facing tight time-to-market deadlines?
• Do you require ruggedized, automotive-grade reliability?
• Are you concerned about component availability and supply chain risks?
• Do you want to focus on your core competencies while leveraging external innovation?

If you answered positively to any of these questions, partnering with DENSO WAVE can accelerate your success.

Accelerating Innovation Through Partnership

The explosive growth of industrial automation and control systems creates unprecedented opportunities for companies developing IoT sensing devices and controls. Expertise and speed determine success. Companies that leverage ODM partnerships will move faster, develop superior innovative products and capture market opportunities that slower competitors miss.

Few OEMs possess the multidisciplinary expertise, manufacturing capabilities and supply chain strength to address all the challenges efficiently. An ODM partnership with DENSO WAVE provides proven technical capabilities, automotive-grade reliability, Toyota Quality Control systems and supply chain power backed by a $50 billion parent company.

Contact us to discover how a partnership with DENSO WAVE can accelerate your innovation and compress your time to market.

How an ODM Can Enhance Your Product Portfolio More Cost-Effectively and More Quickly

Buildings are no longer just structures. They are intelligent, connected ecosystems that monitor energy use, anticipate occupant needs and optimize performance in real time. The global smart building controls market reached $141 billion in 2025 and is projected to surpass $554 billion by 2033₁. That expectation represents a very healthy compound annual growth rate of nearly 19%. For OEMs in the building controls space, the message is clear: the market offers substantial opportunity, and success requires immediate and sustained product development for delivery of the right products at the right time.

Winning in the smart controls market demands innovation at a pace most OEMs struggle to sustain. Developing next-generation building automation systems (BAS), HVAC controls and energy management systems require expertise across hardware, software, connectivity and cybersecurity — capabilities that few OEMs have totally in-house.

That’s where the right original design manufacturer (ODM) partner makes all the difference. The right ODM brings the technology, talent and proven processes to help OEMs bring sophisticated smart controls to market faster and more cost-effectively than if they were to develop all the smart controls alone.

What’s Driving the Smart Building Control Systems Revolution

Several converging forces are reshaping demand for smarter building controls and automation systems. These include:

• More intelligent, feature-rich controls: Modern HVAC controls and thermostats incorporate occupancy sensing, machine learning algorithms, multi-zone coordination and predictive maintenance — moving well beyond simple on/off switching.
• IoT connectivity: Building systems are now networked platforms that enable real-time monitoring, remote diagnostics and data-driven energy optimization across entire facilities.
• Lower power requirements: Energy efficiency is both a regulatory mandate and a market differentiator. Controls must minimize their own energy footprint while maximizing system performance.
• Cost efficiency: Facility owners and operators must reduce energy costs for maximum ROI. Smart controls deliver measurable savings through optimized energy consumption.
• Sustainability: Corporate carbon reduction commitments and tightening regulatory standards are accelerating the adoption of smarter building controls. Energy management systems that monitor, report and reduce consumption provide organizations with data to support meeting their sustainability goals.
• Advanced human-machine interfaces (HMIs): Occupants and facility managers expect intuitive touchscreens, smartphone integration and visually compelling interfaces. The dial thermostat is history.
• Cybersecurity: As building automation systems connect to the internet and enterprise networks, robust cybersecurity design has become a baseline expectation, not a premium feature.
• Home energy management systems (HEMS): Integrated platforms that coordinate HVAC, solar generation, EV charging, water heating and security represent the next frontier of residential controls.

Together, these trends are transforming building controls from simple mechanical components into intelligent, connected platforms that demand far more sophisticated engineering, software integration and system-level design expertise.

The Challenges OEMs Face in Developing Smart Building Control Systems

Building the next generation of smart controls for building automation systems demands expertise across an unusually wide range of technical disciplines: hardware design, custom silicon (ASICs), embedded firmware, wireless connectivity, cloud communication, mechanical packaging and cybersecurity.

• Internal resources: Few OEMs have deep capabilities across all these areas simultaneously, and most internal engineering teams are fully committed to supporting existing product lines.
• Time-to-market pressure: Customer preference and stiff competition punish slow movers. Extended development timelines mean lost revenue and ceded market share.
• Supply chain risk: Another layer of complexity that can bring development to a halt. Single-source component dependencies have proven especially costly amid persistent supply disruptions.
• Regulation and certification compliance: Meeting rigorous safety standards and regulatory certifications such as UL, FCC and Energy Star requires expertise and process discipline that stretches most teams even further.

Ultimately, these challenges are forcing companies to rethink how they develop advanced building control systems—seeking approaches that combine deep multidisciplinary expertise, faster development cycles and resilient supply chains to bring increasingly complex products to market successfully.

Future Trends in Smart Building Automation Systems and Building Control Systems

Building control systems are evolving rapidly as new technologies, energy requirements and user expectations reshape how buildings operate and interact with their occupants and the broader energy ecosystem.

1. AI-Driven autonomous buildings – Artificial intelligence will move building controls from reactive systems to self-optimizing environments. AI models will continuously learn occupancy patterns, weather impacts and equipment behavior to automatically adjust HVAC and lighting for comfort and energy efficiency.
2. Digital twins of buildings – Digital twins—virtual models of buildings and their systems—will allow operators to simulate performance, detect inefficiencies and predict failures before they occur. This will improve maintenance planning and long-term energy optimization.
3. Grid-interactive buildings – Buildings will increasingly interact with the electric grid. Controls will coordinate energy use to respond to energy pricing and grid demand, turning buildings into active participants in energy markets.
4. Edge computing in control systems – Instead of sending all data to the cloud, building controllers will process information locally at the edge, enabling faster decision-making, improved reliability and better cybersecurity.
5. Interoperable open platforms – Future systems will prioritize open protocols and platform architectures that allow different vendors’ devices and software to integrate seamlessly. This reduces vendor lock-in and enables flexible system upgrades.
6. Occupant-centric building design – Controls will increasingly adapt to individual occupant preferences that personalize temperature, lighting and airflow.
7. Advanced sensor networks – Next-generation sensors will measure air quality, occupancy, vibration, noise, and equipment health, providing richer data streams to improve predictive behavior.
8. Built-in cybersecurity architectures – As building systems connect to enterprise networks and the cloud, secure device authentication, encrypted communication, and continuous monitoring will become standard design requirements.

As these innovations converge, building controls systems will play an increasingly central role in creating smarter, more efficient and more responsive built environments.

Bringing in an ODM Partner to Solve the Challenges

A capable ODM overcomes these barriers by delivering the full stack of development expertise an OEM needs without the cost or time required to build those capabilities in-house. An ODM is a full-service product development department that goes beyond just designing, an ODM is going to take every hassle off your hands from supply acquisition to logistics.

Imagine your company had a great idea for the next innovation in smart building control systems, but didn’t have the resources to make the connections to make it happen. This is where an ODM steps in and takes care of all aspects from conception down to getting it shelf-ready.

Why DENSO WAVE Is the Right ODM Partner for Smart Building Controls Systems

While a design house offering design services is a great start, the complexities of a fast-paced industry mean that new product development needs a more comprehensive solution. DENSO WAVE has a broader perspective and expertise that enables building controls OEMs to grow with new smart controls products while maintaining focus with their internal teams on existing product lines. DENSO WAVE offers a complete portfolio of services:

• Automotive-grade quality: As a subsidiary of DENSO Corporation — a Toyota Tier-1 supplier with $48 billion in revenue — DENSO WAVE engineers products to automotive durability and reliability standards. Those standards translate directly to building control applications that must perform dependably over long service lives.
• Toyota quality control systems: DENSO WAVE applies the same rigorous quality management methodologies used in automotive manufacturing, ensuring consistently high quality across every production run.
• Deep controls expertise: DENSO WAVE’s ODM division brings expertise in analog and digital electronics, custom ASIC development, sensor technology, network protocols and mechanical packaging.
• Cybersecurity and functional safety leadership: With more than 30 TÜV-certified functional safety engineers and deep experience with IEC and ISO safety standards, DENSO WAVE is a critical differentiator as building automation systems become more connected and more regulated.
• Supply chain strength: As part of a $50 billion enterprise with 211 consolidated subsidiaries and global procurement reach, DENSO WAVE provides partners with reliable, continuous component sourcing, a significant advantage in an era of persistent supply chain volatility
• End-to-end services: DENSO WAVE manages the complete product lifecycle from initial ideation through planning, development, production, logistics and ongoing support.

Proven Results: DENSO WAVE’s Impact

DENSO WAVE’s track record with building controls OEMs demonstrates what a true development partnership looks like. When an HVAC OEM wanted to bring thermostat development in-house under its own brand but lacked the internal engineering depth to execute, DENSO WAVE delivered more than a single product. It built a scalable platform architecture that enabled the OEM to launch a family of thermostats with progressively advanced capabilities. That partnership has now produced more than six product generations, with shared platform investments compressing development time and cost with every cycle.

On the residential side, DENSO WAVE developed an integrated home energy management system platform that enables OEMs to coordinate HVAC, solar generation, EV/EHV charging, door locks, water heating and security through a single intelligent controller connected to smartphones and the cloud. OEMs can license and build on this platform to enter the HEMS market without starting from nothing — dramatically reducing the investment required to compete in one of the fastest-growing segments of energy management₂.

Partner with DENSO WAVE — Bring Your Vision to Market

The smart building control systems market is expanding rapidly and rewarding OEMs that deliver intelligent, connected and reliable products. Most OEMs face real resource and expertise constraints that slow development and increase risk. DENSO WAVE offers a proven, cost-effective path to market — combining automotive-grade engineering discipline, deep domain expertise and end-to-end ODM capability in every engagement.

Whether you need to develop a single smart thermostat, a complete HVAC controls platform or a fully integrated home energy management system, DENSO WAVE has the people, processes and technology to deliver results — faster and more reliably than proceeding without an ODM partner.

Visit us at originaldesignmanufacturer.com or contact us to start on the path to developing a product line of smart building controls.

¹Grand View Research. (2025). Smart building market size & share, industry report, 2033. https://www.grandviewresearch.com/industry-analysis/global-smart-buildings-market

²Mordor Intelligence, “Energy Management Systems Market Report,” 2025 https://www.mordorintelligence.com/industry-reports/energy-management-systems-market

How DENSO WAVE’s LiDAR Solutions Are Transforming Railroad Crossing Protection

Railroad crossings remain one of the most persistent safety challenges in transportation. According to Federal Railroad Administration data, more than 2,000 injuries and 200 fatalities occur annually from grade crossing collisions and trespassing incidents in the United States. What is disturbing is that the numbers are holding steady. The complexity of modern railway operations, combined with increasing pedestrian traffic, distracted drivers and varied environmental conditions, necessitates safety systems that surpass the capabilities of conventional warning devices. To reduce the number of accidents and fatalities, the industry needs new, more advanced detection and prevention technologies. For OEM product managers, engineering leaders and executives developing next-generation railway signaling and control systems, the question is not whether to upgrade crossing-protection technology. It’s who can help you do it right.

DENSO WAVE, the Original Design Manufacturer (ODM) division of DENSO Corporation, brings a decisive answer. By translating its advanced automotive light detection and ranging (LiDAR) sensing technology directly into railway applications, DENSO WAVE offers a proven, high-reliability partner providing LiDAR technology for the railway applications market.

Why Traditional Railway Control Systems Fall Short

Railway grade crossings represent one of the most critical safety interfaces between rail operations and public roadways. Preventing collisions requires reliable systems that can warn motorists, detect obstructions and ensure crossings remain clear as trains approach. Over time, rail operators have implemented several layers of protection:

• Active protection systems
  • Flashing lights and bells to alert approaching traffic
  • Automatic gates that descend when trains approach
  • Tracking circuits for train detection and gate activation
• Traditional obstacle detection
  • Inductive sensors that detect metallic objects
  • Induction loops embedded in crossing surfaces
• Recent alternative obstacle detection
  • Millimeter Wave Radar that bounces radio waves off objects
  • Cameras that provide images of the crossings

While many of these railway safety management systems have served as the foundation of crossing safety for decades, they face significant limitations:

• Detection gaps — Inductive sensors and loops struggle to detect small objects or non-metallic obstructions such as pedestrians and debris that could pose dangers to both trains and crossing users.
• False positives — Small metallic objects on or near tracks, including hubcaps, antennas, aluminum cans and other roadside debris, frequently trigger false alarms, leading to unnecessary service disruptions and desensitization to warnings.
• Limited situational awareness — Traditional systems provide binary detection (object present/not present) without detailed information about object size, location, movement direction or speed, critical data for intelligent decision-making.

The newer mm-wave radar and camera technology have their own limitations:

• Weather vulnerability — Poor performance in adverse weather conditions, such as fog, heavy rain or snow.
• Effects of sunlight/darkness — Cameras can oversaturate in bright sunlight or lose image clarity in low-light conditions.

These limitations create gaps in protection precisely when railway crossings need reliable monitoring.

Zone-D LiDAR: Precision Detection for Railway Control Systems

Developed specifically for railway crossing obstacle detection, the Zone-D system delivers capabilities far beyond traditional detection methods:

• Comprehensive object detection — The sensors detect stalled vehicles of all sizes and materials and identify pedestrians, wheelchairs, bicycles and other objects. The sensors also detect debris and obstructions regardless of composition and distinguish legitimate threats from harmless objects.
• Intelligent filtering — The Zone-D sensor incorporates DENSO Wave’s patented time-to-A/D technology and advanced algorithms that determine object size and trajectory, distinguish stationary objects from moving ones, filter out environmental noise and eliminate false alarms from non-threatening metallic debris.
• All-weather performance — Unlike camera-based systems, LiDAR technology maintains reliable detection through heavy rain and snow, dense fog, direct sunlight and darkness and temperature extremes.
• Configurable detection zones — Railway operators can define up to six different detection areas with customizable alarm levels and responses, enabling warning zones for approaching traffic, critical zones requiring immediate train alerts and pedestrian-specific monitoring areas. Depending on the zone, algorithms implement graduated response protocols.
• Real-Time Train Alarm Annunciation — When hazards are detected, the system can activate visual and audible warnings to alert trapped individuals, immediately open exit gates allowing trapped cars to pass, and send notifications to approaching train operators including location and object characteristics. If trains have automated brake systems, the LiDAR sensor can communicate indirectly with Positive Train Control (PTC) or European Train Control System (ETCS) interfaces.

DENSO WAVE collaborated with a major railway company to develop and deploy the Zone D sensor optimized specifically for railway crossing applications. This partnership has resulted in approximately 100 Zone-D series sensors installed across more than 50 railway crossings currently in operation. The system has demonstrated exceptional performance in preventing crossing incidents while virtually eliminating false alarms that plague conventional detection systems.

DENSO WAVE radar LiDAR technology for the railway applications market

Expanded Radar LiDAR Technology for Railway Applications Market

Beyond crossing protection, DENSO WAVE’s LiDAR technology addresses other railway safety challenges. The same sensor technology identifies fallen rocks and debris on mountainous corridors, detects trespassers before they reach active tracks, monitors tunnel integrity and clearance and detects passengers who are too close to the edge of a platform. The sensing system alerts train operators to the potential hazards or dangers to humans.

This versatility helps OEMs design comprehensive railway automation solutions. Rather than integrating separate solutions from multiple vendors, your team gains access to a unified sensing architecture — field-proven, manufactured to Toyota-quality standards, and supported by a single expert partner.

What’s Next: SPAD 3D LiDAR and the Future of Railway Control Systems

DENSO WAVE is already developing the next generation. Its Single-Photon Avalanche Diode (SPAD) 3D LiDAR technology — originally engineered for autonomous vehicles —delivers 10x higher sensitivity than conventional LiDAR. SPAD technology detects objects at greater distances and with higher precision than conventional LiDAR, enabling earlier hazard detection and response. Rather than simple point detection, SPAD LiDAR produces 2D high-resolution data that enables the creation of detailed two-dimensional maps of monitored areas. The new technology allows precise object location and dimensions, real-time movement tracking, detailed scene reconstruction and enhanced classification accuracy.

The new technology integrates the time-to-digital converter (TDC) and digital signal processing (DSP) on a single chip, dramatically reducing sensor size, weight, and power consumption. The compact package enables deployment in space-constrained railway environments.

The sensor design offers enhanced environmental performance. It will have an extended detection range in fog and precipitation, reliable operation in full sunlight and consistent performance across extreme temperature ranges.

This next-generation technology will enable even more sophisticated railway control systems, including comprehensive 3D mapping of crossing environments, predictive analytics based on movement patterns and integration with automated train operation systems. For OEMs designing products today, partnering with DENSO WAVE means accessing not just proven current technology, but a direct roadmap to next-generation technology.

Results For the Radar LiDAR Technology for Railway Applications Market

Railway operators who have deployed Zone-D LiDAR systems report outcomes that go straight to the bottom line of safety performance and operational efficiency:

• Significant reduction in crossing incidents through earlier, more accurate hazard detection
• Elimination of false alarms that previously disrupted operations and eroded operator trust
• Enhanced operational confidence from reliable all-weather performance
• Accumulation of valuable safety data enabling continuous improvement and targeted risk reduction

The combination of advanced detection capabilities, intelligent filtering, and seamless integration with existing railway systems creates a comprehensive safety enhancement that protects lives while improving operational efficiency.

The Future of Railway Safety Starts with the Right Partner

As railway control systems worldwide modernize and passenger volumes increase, the imperative for more sophisticated safety technology has become more important. DENSO WAVE’s automotive-derived LiDAR solutions represent a proven path forward — bringing cutting-edge detection capabilities, unmatched reliability, and comprehensive partnership support to railway safety applications.

DENSO WAVE brings four decades of automotive safety engineering discipline, proven LiDAR technology already operating on active railway crossings and a complete ODM model that carries your program from the first whiteboard session to a deployed and supported product. Whether you’re developing next-generation crossing protection systems, expanding track monitoring capabilities or building an integrated railway control system, DENSO WAVE offers the technology expertise, manufacturing capability, and collaborative approach to transform your vision into reality.

Enhance your Railway Safety System

Contact DENSO WAVE to explore how our LiDAR technology and ODM expertise can address your railway safety challenges. Visit originaldesignmanufacturer.com or contact us to start the conversation.

When you hear the word “custom,” what are your first thoughts? What often comes to mind is: long development time and high cost. If you have a similar impression, your next thought is to avoid custom development whenever possible. Stay away from it like it is the plague.

In industrial automation, product teams choose between speed and differentiation. Off-the-shelf platforms promise fast launches but force compromise. Fully custom development offers differentiation but at the cost of long timelines and heavy internal resource demands.

That tradeoff used to be true. Today, it no longer has to be. It is time to revise your thinking.

Original design manufacturing (ODM) has evolved into a powerful model that enables original equipment manufacturers (OEMs) to deliver custom, market-ready products quickly, without overloading internal engineering teams or extending time-to-market. At DENSO WAVE, we see this shift firsthand as customers increasingly ask us to help them move faster, smarter, and with less risk.

The Limits of Off-the-Shelf and In-House Custom Product Development

Off-the-shelf automation products play an important role, especially for standard applications. But as markets mature, their limitations become clear:

• Limited ability to differentiate in crowded markets
• Gaps in product portfolios that weaken system-level offerings
• Design compromises that increase long-term costs
• Constrained ability to respond to customer-specific requirements

On the other end of the spectrum, fully in-house custom development presents its own challenges:

• Internal engineering teams stretched across multiple priorities
• Sequential handoffs between design, engineering, manufacturing and marketing slow progress
• Increased risk of late-stage redesigns and cost overruns
• Difficulty scaling manufacturing efficiently

As automation systems become increasingly interconnected and expectations for reliability, interoperability, and lifecycle support rise, both approaches can yield unsatisfactory results.

Speed in custom product development does not come from shortcuts; it comes from experience.

The ODM Advantage: Custom Product Development Solutions Without Slowing the Clock

The strongest ODM partners act as integrated development engines, combining architecture, engineering, manufacturing, quality and lifecycle support into a single coordinated team.

At DENSO WAVE, this integration is fundamental to how we work

Parallel Development Accelerates Time to Market

Instead of moving work sequentially from one department to the next, DENSO WAVE brings design engineering, manufacturing engineering, quality, compliance and product support together from the beginning. Converting from sequential to parallel execution changes the timeline in meaningful ways:

• Manufacturing expertise guides design decisions early to minimize production costs
• Test strategies are developed alongside architecture definition, not after
• Compliance and certification considerations are built in, not bolted on
• Product decisions are validated faster, with fewer late-stage surprises

The result is not just faster development but faster time to validation — when a product is truly ready for the market.

Extending Customer Teams Without Consuming Internal Resources

One of the most common reasons customers partner with DENSO WAVE is resource focus. Internal teams often work on multiple strategic initiatives simultaneously. Pulling them into an entirely new product development effort can slow everything down.

An ODM partnership changes that equation.

DENSO WAVE functions as an extension of the customer’s engineering organization, absorbing development workload while aligning closely with the customer’s roadmap and requirements. DENSO WAVE provides efficient, scalable resources for either short- or long-term programs. This allows internal teams to stay focused on core differentiation, while still expanding product lines, entering new markets or addressing cost pressures.

Depth of Expertise Enables True Product Development Customization

Speed in custom product development does not come from shortcuts; it comes from experience.

DENSO WAVE brings decades of expertise across the technologies that define industrial automation products, including:

• PLCs, controllers and ASIC-based designs
• Embedded software and firmware
• Cybersecurity implementation
• Digital and analog I/O design
• Communication networks and industrial protocols
• Human-machine interface design
• Sensor technology
• Mechanical packaging for harsh environments
• Manufacturing test strategy and long-term lifecycle support

Because these capabilities are already in place, DENSO WAVE is not starting from a blank sheet of paper. Proven architecture and processes are adapted quickly to meet customer-specific requirements.

Example 1: Low-Cost PLCs that Drove Market Growth

A major industrial controls manufacturer faced a common challenge: the need for a line of PLC products that integrated seamlessly with their existing portfolio. The new lower-cost line needed to have the quality and reliability of the company’s existing high-performance PLC product line. Developing a new PLC line internally would have required significant engineering resources and introduced schedule risk.

DENSO WAVE partnered with the customer to design and manufacture a high-reliability, cost-effective PLC product line tailored to the company’s ecosystem. The products met aggressive cost targets without compromising quality or performance.

The results were decisive:

• A competitive PLC offering that integrated cleanly with existing systems
• Applications in new markets driving significant sales growth
• Internal resources deployed on other strategic initiatives

This relationship has evolved into a long-term partnership. DENSO WAVE has partnered with this industrial controls manufacturer for over 40 years, developing multiple generations of products and providing long-term manufacturing and lifecycle support. That continuity enables faster development today and confidence in tomorrow’s roadmap.

Example 2: Compressing Custom Sensor Development from Months to Weeks

So, custom development used to mean long timelines. This example proves otherwise.

A manufacturer of water heaters identified the need for a moisture sensor to identify hot water tank failures and prevent flooding. The challenge: the company did not have the internal technology or experience to develop the sensor.

Initial estimates projected an 8 to 12-month development cycle, a time the business could not afford. DENSO WAVE brought a different perspective. Drawing on experience developing sensors for automotive applications, our team applied existing expertise, processes and validation knowledge to the problem.

The result: A fully developed custom moisture sensor in just 10 weeks.

Beyond Design: Manufacturing and Lifecycle as Competitive Advantages

Speed to launch is only part of the equation. Automation products must also be manufacturable at scale and supportable for years — often decades.

DENSO WAVE’s roots in automotive manufacturing bring discipline that translates directly to industrial automation:

• Rugged automotive-grade design expertise
• Automotive-grade quality systems based on experienced implementation of the Toyota Quality Management System
• Early-stage quality management and design-for-manufacturing
• Global manufacturing scale and resilience through the DENSO organization’s $50 billion purchasing power
• Long-term lifecycle and obsolescence management

For OEMs, this means fewer problems after launch and confidence that products will remain viable and supportable over their full lifecycle.

When Custom Product Development Beats Off-the-Shelf— and Stays on Schedule

ODM partnerships are particularly effective when companies need to:

• Expand or fill gaps in an existing product portfolio
• Enter new markets quickly
• Improve cost structure without designing from scratch
• Reduce internal resource drain
• Mitigate development and manufacturing risk

In these scenarios, customization and speed are not opposing forces. With the right ODM partner, they reinforce each other.

Product Development Customization Without Compromise

The automation market continues to evolve. Customers expect solutions that are reliable, interoperable, cost-effective and ready for long-term deployment. Meeting those expectations requires more than off-the-shelf platforms and, often, more than internal development.

At DENSO WAVE, we combine design engineering, manufacturing, quality, and lifecycle support into an integrated ODM model that delivers tailored solutions without sacrificing time-to-market. Our experience shows that when our expertise, integration and parallel execution come together, automation OEMs can deliver differentiated products at scale both faster and with reduced risk.

Customization no longer must mean compromising development time and cost. With the right ODM partner, it becomes a competitive advantage.

Contact us to learn how we can help your company accelerate the development of highly differentiated products for your markets.