Consolidating Vendors Can be the Manufacturing Equivalent of the Smartphone

Posted by Kaysun Corporation on Oct 24, 2011 11:00:00 AM

blank.pngLots of people used to carry mobile phones to make phone calls, GPS’s to find their way around, iPods to listen to music, and laptops for internet access, general document creation, and storage. Then came the smartphone. In the manufacturing sector, we can be smarter as well.

When I used to tote around all these devices, the thought of adding another device initially seemed like overkill to me. Until I realized that the smartphone actually can replace existing devices, and operate more efficiently, I might add. Greater function, fewer devices. Made sense. I got a smartphone and have never looked back.

Let’s look at the manufacturing parallel. Just as I discovered that the smartphone consolidates most of these functions into one revolutionary device, so, too, can manufacturers and marketers enjoy revolutionary savings and efficiencies through consolidating manufacturing vendors.

Companies are looking to reduce their supply base because of high internal costs associated with managing too many vendors. It is not unheard of for companies to have 20+ “devices” [that is to say, vendors] for a specific commodity. Many companies are reluctant to even consider new vendors during a supplier consolidation because it initially feels like they are adding, not reducing, the number of vendors. But, like the smartphone, leading injection molding companies have evolved and become “smarter” in their own ways by providing value-added services and adaptable molding processes that support their partners’ efforts to consolidate vendors. By adding the right new vendor, any number of current vendors can be eliminated for net consolidation.

As long as we’re using the parallel of electronics, consider hand-held devices: What goes into making the part? Does it have a plastic housing, likely requiring both soft and hard materials or two colors? Are there electronics connectors such as USB ports? Does it require a printing connection? Are there visible screws/bolts? What about the inside and what are the components, tolerances, and assemblies required for these? If you are responsible for sourcing all of the components that go into making that device, would you prefer to work with multiple vendors or just one complex injection molder that can do it all?

All you have to do is be open to considering that option, because, with the right vendor, it is certainly doable. And this applies, of course, not just to hand-held electronics but all types of industries.  Kaysun has proven to be a valued partner in providing multifaceted, value-added capabilities to cost- and efficiency-minded companies, and would welcome the opportunity to work “smart” with you.

As long as we’re using the parallel of electronics, consider hand-held devices: What goes into making the part? Does it have a plastic housing, likely requiring both soft and hard materials or two colors? Are there electronics connectors such as USB ports? Does it require a printing connection? Are there visible screws/bolts? What about the inside and what are the components, tolerances, and assemblies required for these? If you are responsible for sourcing all of the components that go into making that device, would you prefer to work with multiple vendors or just one complex injection molder that can do it all?

All you have to do is be open to considering that option, because, with the right vendor, it is certainly doable. And this applies, of course, not just to hand-held electronics but all types of industries.  Kaysun has proven to be a valued partner in providing multifaceted, value-added capabilities to cost- and efficiency-minded companies, and would welcome the opportunity to work “smart” with you.

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