CASE STUDY


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ISSUE

Display Manufacturer is bidding on job where bill of materials calls for 15,000 pcs 8-32 x .312 brass insert by SPIROL.

Spirol has 265 local stock, 5000 due in 10 days, balance in 4-5 weeks. Display Manufacturer unable to meet required delivery of 2 weeks requested on RFQ due to lead time on fasteners.

SUGGESTED SOLUTION

MF Supply gets a print of the part from SPIROL and is able to cross it to an exact equivalent for a brand we carry and factory has in stock. MF Supply delivers samples of fasteners direct to the customer within 24 hours.

Sample fasteners are approved for production by Display Manufacturer within 2 days.

15,000 are available from factory and delivered to customer within 48 hours of PO issue.

TIME SAVINGS

MF Supply shortens fastener lead time from 4-5 weeks to 2-3 days.

COST SAVINGS

SPIROL Price = .11938 each. Total $1790
MF equivalent price = .075 each $1125
Total Savings = $665

SUMMARY/BENEFIT

- Cost savings of $665 or 37%.

- Display Manufacturer wins bid and is awarded job.

- Work is completed on time.

- Job is more profitable due to cost savings realized on fasteners.

- Job has been a repeater and a money maker for Display manufacturer.