Building Costed Bill of Material (BOM) For the Electronic Manufacturing Services Category for a Leading Medical Device Manufacturer in the USA
Challenges
Context
Approach
Results
Challenges
- Supplier’s contact detail available may not be appropriate for handling the specific request.
- Suppliers declining to participate.
- Suppliers not disclosing some confidential and sensitive information.
Context
- Obtain a costed bill of material from suppliers.
- Ensure complete visibility and control over the electronic components supply chain.
- Closely monitor the delivery performance of each supplier.
- Establish a “Control tower” process for tracking, monitoring and managing the electronic components supply chain.
Approach
- Sourcing of right contact details.
- Email launch along with data collection template.
- Guidance and explanation on how to fill the data collection template and their importance.
- Validation and consolidation/building of costed bill of material altogether.
Results
- Gain visibility on the electronic manufacturing service capability and purchase prices.
- Track supplier lead-time performance.
- Establish an effective minimum order quantity (MOQ) for each product.
- Engage around 100 suppliers, whose total spend portfolio amounted to USD 1.2 billion and collected information for 36,000-line items of a costed BOM totaling USD 645 million in value.
