To assemble their products, original equipment manufacturers need countless parts and supplies, from standard nuts and bolts to Class C Components. The latter are defined as high-volume, low cost materials, and they can make up as much as 80 percent of your production stock keeping units (SKUs). The class consists of parts such as fasteners, retaining rings, packaging materials, O-rings, abrasives, springs, bushings, bearings, bumpers, caps, screw machine products and more, according to parts manufacturer Whitesell Group.
Manufacturing takes the coordinated effort of both people and plant machinery, and if one piece of the puzzle is missing, the entire production line can come to a grinding halt. Say you run out of a certain fastener needed to complete your biggest seller. You'll need to stop production on that line and order stock from the supplier, which is a time-consuming and costly process. It may be difficult to contact the right supplier, especially if the company is not one that you interact with regularly. Once you are able to actually place an order, it could take weeks from when you order the part to receive it. For a part of your inventory that tends to account for just 5 percent of your spend, this creates significant additional cost and can impact customer relations.
Falcon Fastenings Solutions makes it easier to get the parts you need. The company can supply you with industry-specific, made-to-print fasteners and Class C Components that can otherwise be difficult to find. Plus, when you use the vendor managed inventory services, you can cut your lead time down significantly, as the supplier will have a stock of the parts you need ready and waiting. Rather than sacrificing as much as 50 percent of a purchasing manager's time, VMI programs are self-managing and inventory is replenished on a "pull" basis consistent with your usage.