Project Description

Situation

A global leading Manufacturer of Utility Meter Solutions wanted to eliminate ownership and management of Class C production components, which accounted for less than 5% of the production spend. The supplier would be measured to 100% optimal production efficiency.

Falcon solution

They selected Falcon’s Onsite Branch Solution with an In-Plant Store management program. This customized program includes
Falcon owning the material stocked in the plant until it is moved to point-of-use (POU) production areas. Falcon has a full-time dedicated Branch Manager in the plant 40 hours per week, with two skilled back-ups trained for when needed. The inventory is inspected and replenished on a daily basis. The customer has 24-7 real-time visibility to the inventory level on each Falcon-owned part stocked in their plant. A dedicated Client Advocate is responsible for customer service interaction and for purchasing inventory for the In-Plant store and back-up inventory stocked at Falcon. They also work off the client’s forecast to make inventory adjustments to ensure product is always available to meet the client’s needs.

Falcon results

This has freed up $350,000, reduced owned inventory to virtually work in progress, while achieving 100% production efficiency on these parts. Falcon is also providing kitted and sub-assembly parts through the In-Plant Store Program. The documented annual savings for the customer is $275,000.

Find My Savings Solution

Reliable Stock™ Lean VMI Solutions by Falcon

Falcon’s Reliable Stock™ lean VMI program delivers 100% production uptime efficiency, while lowering your overall inventory investment in class C production components and fastening supplies. Find Your Solution Today!

Find My Savings Solution