Case Study 1

One client of Supply Dynamics is a multi-billion dollar market leader in the fastener distribution business furnishing nuts, bolts, inserts and other fastening systems to customers worldwide. In under five months, Supply Dynamics enabled this customer to progress from simply knowing the part number and piece price of the fasteners they distribute to fully comprehending what it takes to buy the raw material, fabricate and assemble the parts it distributes.   Equipped with this information, this customer can now manage over $100M in annual spend by consolidating suppliers, eliminating uncompetitive sources of supply, monitoring and directing the competitive sourcing of common materials and eliminating sole sources of supply.  Moreover, the visibility provided by Supply Dynamics allows this customer to negotiate more effectively with new and incumbent sources of supply. Coupled with Supply Dynamics proprietary OASIS system the customer will be able to ensure the data remains current through product life cycles, design changes and supplier transitions.

Case Study 2

One client of Supply Dynamics is a $13.5 billion transportation industry market leader and has 14 top-tier suppliers for fabricated parts and assemblies. Although this company's strategic sourcing processes have long been considered a benchmark for the industry, Material Demand Aggregation achieved a significant reduction in the cost of nickel and cobalt sheet metal products. The process minimized speculative inventory and developed second source suppliers for previously sole-sourced materials. In addition, on-time finished-part delivery and material utilization were dramatically impacted throughout the supply chain.

This same client also had 26 top-tier machined-parts suppliers purchasing fastener items from 65 different sources. By reducing the number of sources from 65 to only 3, Supply Dynamics was able to achieve lower step-down pricing for 3 years, while eliminating all minimum quantity purchase requirements. Simultaneously, Supply Dynamics was able to assist the OEM in developing and approving new sources for dozens of previously sole-sources fastener items.

Case Study 3

Another Supply Dynamics client is a $1.6 billion European engineering company. In a highly escalatory, capacity-constrained environment, Material Demand Aggregation allowed this company to:

  • Achieve dramatic cost reductions and secure a reliable, qualified source of supply for stainless steel alloy bar products in 2004 and 2005.
  • "Piggy back" 17 major sub-tier suppliers on the OEM stainless steel alloy bar program referenced above.
  • Dramatically reduce the annual cost of fastener purchases across 10,000 part numbers and extend vendor managed inventory service levels to more than 18 OEM sites worldwide.



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Testimonials

"During the past three years, Supply Dynamics has served as our "aggregation" service provider, overseeing programs for the consolidation of site and sub-tier supplier requirements for [three important programs]. All three programs were successful in achieving stated program objectives of (1) greater bill of material visibility; (2) reduced cost, and; (3) improved continuity of supply. Without reservation, I can vouch for the excellent performance and integrity of the Supply Dynamics organization. Their contribution has been invaluable."

Director Raw Material Sourcing, Smiths Mechanical Systems

"The team was able to comprehend the need and was willing to work to customize a solution that works well for both organizations. They have been responsive to our aggressive schedule and the time pressures of the project. They coded more than 8,000 part numbers in less than a month representing more than 900,000 lbs of material requirements across more than 30 suppliers. It has enabled GE Energy to obtain unified visibility into what was previously a fragmented bill of material spanning dozens of sub-tier suppliers. Ultimately, it allowed us to understand the raw material details of our parts that enable us to partner with the right suppliers to drive productivity and growth. Supply Dynamics is passionate about what they are doing and our association has helped us to realize some of the potential of the demand aggregation tool."

Senior Leader Sourcing, GE Energy

"The OASIS system employed by Supply Dynamics and provided to GE Aviation sub-tier suppliers, links Bill of Material Information from the sub-tier suppliers, fastener lead times, and the GE finished part schedule to create a fastener forecast that helps everyone anticipate fastener requirements and more efficiently source them. Over the last 3 years the program has provided a 15% average cost savings to our sub-tier suppliers on over 1.5 M individual fasteners purchased through the program. Better information has resulted in better performance across the board. Over the last 3 years, late fastener deliveries have been minimized and costs contained during one of the most escalatory periods in the last decade. This program has also given GE, and its sub-tier suppliers, the ability to plan their businesses and make smarter sourcing decisions."

Buyer, GE Aviation

"Hey – these guys are for real! We have utilized the services of Supply Dynamics for their part coding expertise and the results far outweighed our expectations. The coding was handled efficiently and professionally resulting in a data base of many thousands of part numbers of near pristine perfection – uncovering an absolute gold mine of heretofore hidden information. We were able to exploit the wide level of aggregation experience that the Supply Dynamics team offers and embark upon what we believe to be is a timely and much needed strategy for metallic raw material risk mitigation. Supply Dynamics became a true extension of our team, true partners in every step of the process. I recommend them highly to any organization that is serious about embarking upon an aggregation strategy. I can assure you, their commitment to your project, data handling expertise and overall aggregation experience will be the right fit for your aggregation project team."

Sourcing Program Manager, Honeywell

"Customer Service is great. I get instant responses on any changes or questions pertaining to my order."

Senior Buyer, Aerospace Industry sub-tier supplier

"Unbeatable prices with on-time delivery."

Buyer, Unison Engine Components

"[We] have participated in many initiatives that have been flowed down by the OEMs. In most cases, these programs are destined to fail because they offer no real solution to the problems we face and a reduction in our profit margin is not an option. I was very impressed with your presentation. It offers a real solution to reducing cost for the OEMs without affecting the profitability of the supply chain. A win, win situation is always good business. Kudos to the team at Supply Dynamics!"

Machined Parts Program Manager, Davis Tool

"We really like working with Supply Dynamics. They are kind of a 'one-stop-shop' for our fastener needs. They are my first, and usually last, call when I need fasteners because they are so good at finding what we need."

Buyer, Sun Country

"I really appreciate the way everything is working out between Barnes Aerospace Windsor Division and the Supply Dynamics organization and I wanted to take the time to write you to expound. We always get shipping notices, which helps cut down on timely questions / requests for information. When we have experienced problems [Supply Dynamics] have always gotten resolution in a timely manner, which helps us both immensely and goes a long way towards building a trusting relationship. When I saw that O’Neal bought into Supply Dynamics I was thoroughly excited, because we already deal with some of their companies and have a seamless existing relationship. It is very nice to come into work and know that there are people out there like yourselves that think and work so hard to service the supply chain."

Senior Buyer, Barnes Aerospace


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