Vendor Consolidation of Foam, Sponge, Elastomers & PSA Backed Rubber | A large lighting and signal manufacturer in Illinois had over 700 purchased parts with over 300 suppliers at seven domestic locations. The components that were being consumed included grommets, seals, gaskets, o rings, bushings, bumpers, extrusions and bellows made of materials ranging from foam, sponge, elastomers, metallic, plastic, PSA backed rubber and more. These parts ranged from die cuts to molded parts. Within a six month period, Archer Advanced Rubber Components began management of all 700 items, implementing a Kan Ban program with automated releases based on the customer MRI system. We were able to consolidate materials, processes, and supplies in order to automate their purchasing process. As a result, Archer was able to reduce vendor associated shipping and freight expenses, inventory levels, and management costs to bring an overall savings of 45% below the previous year. |