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Introducing a New Product Line? – Use Supply Base Management Services

Sometimes achieving operational efficiency and savings, together, can be a constant battle, considering the amount of money and effort that goes into planning and procurement. And, this is especially true when the organization is planning to introduce a new product line.

What is required here is a major shift in strategy to accelerate the product line and deliver at the expected time-to-market; and of course, realize high cost-benefits and ROI. The shift in strategy can be through establishing partnerships with supply chain management companies to keep the planning and procurement initiatives on track.

Supply base management experts establish partnerships with other suppliers to manage the client organization’s supply chain activity for the new product line. They are able to assure excellent cost, quality and on-time delivery because of the close business relationships they share with their suppliers. Also, they are able to meet new procurement demands because they have access to pre-existing catalog of components that can be used to procure the required materials.

Using the services of supply base management experts can enable client organizations to ensure that their products are always competitive and meet the current market demands.

The following are some of the important supply base management processes that are offered by expert supply base management companies:

    1. Material Planning and Procurement; Domestic and Offshore Sourcing;

    2. Turnkey Materials; Consigned Materials; Vendor Managed Inventory

    3. Supplier Qualification and Certification

    4. Kan/Ban

    5. Lifecycle Management

    6. Web Based Inquiry and Reporting

Organizations need to realize that the fastest way to improve operational efficiency and increase returns is to outsource procurement/planning activities to supply chain consulting services. Making this wise decision will definitely aid in creating the required market base for the new product line.

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