[Case Study] How a Contract Electronic Manufacturer Increases Sales & Profits
Executive Summary
Our client asked Colmworth Electronics to source, procure and kit, production line ready component kits, for a potential new customer.
Challenges
Our client's reputation had lead to a huge opportunity with a potential new customer placing large orders in a condensed time frame. Not wanting to increase their head count while growing their revenue, our client instructed Colmworth to provide quotations on the new BoM's to take control of sourcing, purchasing and kitting the components. Thereby winning a new customer for our client.
How we helped
First, we interrogated the BoM's for potential incomplete part numbers or descriptions and cleaned the information before sourcing.
Next, we worked within the time frames given to achieve the best price with the best lead time in our quotation. We would ensure all kits would be production line ready with no shortages and ready to run, including attrition tailored for their machines, and packed in ESD safe reusable crates.
Results
Our client won their potential customer and started to receive orders soon after quoting. While they had increased their turnover they had not increased head count or other costs.
Even though they were building and shipping more products, their inventory remained the same and our client's cash flow was significantly improved. Our client's customer was paying our client around the same time our client's invoice was due to us. Our client advised us that if Colmworth was not involved they would have had to turn the business away, and lose a significant amount of profit.
Colmworth's Kitting System is a no-cost, low-risk way to create a more effective and
efficient business.
Call us on 01480 477400.
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