An automation company was facing constant material shortages and increasing costs of purchased materials.
- An intensive 2-day Procurement Snapshot was performed, which included interviews, personnel assessment, cost-data analysis and process reviews
- Several key problem areas were identified
- Engineering and Purchasing employees were trained to keep preliminary product development costs to a minimum
- Recognition of need to change purchasing leadership and with the support of Flow Consulting, locate and interview a replacement purchasing leader
- A 20 percent reduction in overall material costs for subsequent automation products
- A 50 percent reduction in materials shortages within three weeks