BACKGROUND This company is a leading manufacturer of rugged, high performance, embedded computer products used in defence/aerospace applications. Up until its partnership with Paragon, the company had relied totally on in-house purchasing and material control, with assembly split between an in-house facility and a number of sub-contract assembly companies. - exacting demands of the company’s market sector, and the complexity of the kits supplied, required rigorous quality standards: the company has strict specifications for component procurement, requiring source inspection prior to shipping. In outsourcing procurement, the company needed to be reassured that Paragon had the ability and facilities to meet the demanding standards. - all aspects of Paragon TCM® put to the test: the company invited Paragon to quote on a selection of low volume/high complexity boards with future business based solely on the success of the initial project. SOLUTION Following the initial trial in 1999, the company contracted Paragon to kit a variety of medium volume boards taken from its broad product range. This has increased rapidly to a point where Paragon now ships 95% of the company’s electronic component kits. - flexibility: using Paragon TCM® has provided additional manufacturing flexibility, which has allowed the company to dynamically change their build plan, depending upon capacity at each of their assembly locations. On occasions Paragon holds completed kits in a bonded location awaiting ‘next day’ call-off, when they can be shipped directly to the line where there is capacity. - oven baking and vacuum sealing: Paragon has provided both oven baking and vacuum sealing for component packing, helping to meet increasing quality standards, and to meet the company’s specific packaging requirements. - releasing valuable management time: using the Paragon TCM® service has released valuable management time for this company, that has been channelled into more proactive and strategic activities. - reduced costs: with Paragon’s specialist component procurement expertise, the company has enjoyed the benefits of reduced acquisition costs. Quote from the company’s buyer responsible for sub-contract kit procurement “We have worked very closely with Paragon for a number of years. We have found them forward thinking and capable of adjusting to our demanding and ever changing needs, and they are happy to ensure our kits are tailored to meet our exact requirements. With all their added-value services, Paragon provides solutions to everything we demand of them, often surpassing our expectations”.
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