At Tenet, we often work with organizations that design products in-house. However, the lack of supplier input can lead to high pricing or even an inability to produce the desired parts. Suppliers frequently suggest alternative designs, but companies are often hesitant to make changes due to their importance within the overall design or system. This reluctance can result in higher costs, a limited supply base, quality issues, and delivery delays—none of which serve the company well in the long run.
Fortunately, there are better strategies to consider, including slight modifications, redesigns, or, ideally, involving suppliers early in the design process.
Modifications and Redesigns
One effective way to mitigate production challenges and find willing suppliers is to engage them early in the actual design process. By allowing suppliers to suggest modifications, alternative materials or redesigns, you can create parts that are easier to produce without compromising their fit or function.
For example, in the plastics category, minor adjustments can improve part strength, reduce quality issues like flow lines, and lower production costs. Collaborating with suppliers and incorporating their recommendations can lead to substantial improvements with minimal risk.
Alternative Manufacturing Processes
If a redesign isn’t desirable, consider altering the manufacturing process itself. For instance, switching the molding technique used for plastic parts can yield better results. Moving from Sheet Mold Compounded (SMC) to methods like Thermoforming or Vacuum Forming can enhance efficiency.
In more transformative cases, changing the part material alongside the manufacturing process can be game-changing. Transitioning from metal to plastic or employing innovative materials can often result in lighter, stronger, and more cost-effective components.
Collaborating with Suppliers During Design
Another powerful option is to involve suppliers in the design phase. Collaborating directly with experts who understand manufacturing intricacies can significantly improve your product development process. Strategic sourcing enables firms to include suppliers early on, allowing them to offer insights and solutions for easier production, enhanced quality, and reduced overall costs.
Many companies hesitate to engage suppliers at the design stage for fear of compromising competitive pricing. However, there are ways to ensure competitiveness, such as:
- Having contracts with Transparent Pricing Models defined and agreed to
- Involving multiple suppliers in the design process
- Quoting the part again after design lock to confirm pricing competitiveness
Real-World Impact
To see how we’ve helped clients overcome limited supply bases and achieve substantial cost savings through effective redesign and supplier collaboration, visit our results page. Tenet Consulting has successfully assisted numerous clients, generating over $1 billion in savings. Our methodologies have helped companies achieve an average return on investment of 6 to 15 times.
Need assistance with managing your supply base, improving your design processes, or engaging suppliers? Contact Tenet Consulting today.
Let’s work together to optimize your production strategies and enhance your supply chain resilience.
