Some assembly designs can require 100’s of different components. Those components are purchased through a variety of Authorized Distributors. With complicated builds requiring hundreds of components, it is not unusual to purchase from 5 to 15 different distribution sources.
Imagine the time, attention, and manpower it takes to place, receive, inspect, approve and organize for placement readiness:
· 10 separate shipments
· 10 email notifications/issue alerts
· 10 packages to track
· 10 boxes to inspect
Imagine the outsource option requiring 1 purchase order. Shortly after placing the purchase order you receive 1 complete kit containing all the components required, with each component line already inspected, full traceability documented, and prepared for the assembly line.
Now, the 5 Reasons to Outsource Component Procurement and Kitting:
#1 – Eliminate the hassle of the numerous problems which arise with distribution warehouse picking errors, damage in shipping, etc. These issues take time to resolve.
#2 –The knowledge base gained from a procurement and kitting source, whose only role is to understand the marketplace, the various manufacturers, and the requirements of the assembly floor.
#3 – Partnering with the staff that is knowledgeable on calculating assembly attrition, verifying components with datasheets, understanding the part numbering systems and find alternate sources or drop-in replacement components to recommend.
#4 – Full traceability of all the components. Lot codes, date codes and distribution sources held for at least 2 years to aid in identifying any errant issue down the road.
#5 – Organized, prepared component Kits arrive audit ready, in line-item order; audit, set the line and run.
Outsourcing procurement and kitting has proven to be a very successful option for OEM’s and assembly facilities. The cost savings and efficiency gained by the partnership will more than pay for the service.
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