Cost Down Scheme

Boly helps customer to adopt a cost avoidance mentality to reduce long-term metal sourcing and production costs when sourcing metal and plastic machined parts.

Boly is your sourcing PartnerCost Reduction in Metal Fabrication

Boly helps customer to adopt a cost avoidance mentality to reduce long-term metal sourcing and production costs when sourcing metal and plastic machined parts.

Metal parts re-engineering

Investing time in the product’s infancy stage could mean long-term payoffs, especially in an upward trending metals market. Bring internal design engineers and Boly’s engineer into the conversation early, and encourage exploration of alternative design concepts. Our sales engineers have third-party perspective who could catalyze a new design concept, resulting in reduced material costs, production costs and shipping costs.

Alternative production processes

Consider alternative metal machining options, weighing the upfront set-up costs against long-term reduction in cost per unit. Depending on the length of the product lifecycle and production volume, a high-volume solution like our screw machining might be well production choice.

Inventory management

Holding and managing inventory is another overlooked aspect of a your total cost of ownership. Our offsite inventory storage and management cuts down on needed your storage space and labor costs. Further, just-in-time delivery will allow a steady supply of parts to keep pace with your forecasting and manufacturing demand.

PRECISION TURNED PARTS
Engineering

There are advantages your businesses should consider when it comes to outsourcing and offshoring:

Cost savings

By combining offshoring and outsourcing, you could potentially save more money if able to take advantage of lower foreign costs and less overhead.

Lowers operational costs

Contracting out work could lower overhead expenses and the need for additional in-house employees.

Global competitiveness

As more companies expand operations in Asia, offshore outsourcing could help them remain viable in an increasingly competitive global marketplace.

Territorial knowledge

Having the ability to leverage a foreign workforce familiar with its own country and markets could be useful. We have the talent and resources to complete a task faster and more efficiently.

Tips for strategic cost reduction

To remain competitive and profitable, electronic and industrial manufacturing companies must strictly manage all their costs and expenditures. Often, cost reduction measures are taken at the point of component procurement, with much of the weight resting on the shoulders of the component buyers. Listed below are 5 reduction tips for electronics manufacturing services (EMS) and original equipment manufacturer (OEM) buyers.

Scheduled Orders

An easy place to start reducing costs is when ordering machined components. With scheduled orders, a larger quantity of product can be purchased at one time but shipped in smaller quantities as needed. There is often a discount that comes with buying in bulk, as price breaks are based on total order quantity. Additionally, scheduled orders and stocking packages are vital parts of the Zero inventory and Just In Time (JIT) inventory management systems. These management systems are great for electronic manufacturing cost reduction because costs can be cut in so many places. For example, by reducing warehousing costs, fixed costs can be cut which results in a higher profit margin on the goods sold. By reducing the amount of stock in holding, JIT inventory management frees up resources that can be used differently and, usually, more effectively. By working with a supplier to set up scheduled orders, OEM and EMS buyers can secure inventory, increase efficiency, and reduce costs. That is how Boly manage customer order with long term customers.

Look for Crossing Opportunities by offshore

Another sourcing cost reduction tip is to work with offshore supplier and explore crossing opportunities. Many parts made by offshore manufacturers have alternatives that are of the same quality and perform the same but are lower in cost. Looking for potential alternate manufacturers or crossing opportunities for commodity-type components can result in huge cost savings and better delivery schedules. Boly always be an offshore approved company on customer approved vendor list (AVL). This allows for more flexibility in your supply chain. This allows for more flexibility in your supply chain. It can also reduce the need to spot buy.

Cost Down Spot Buys

Spot buys are usually seen as a negative because of the costs associated with them but that does not have to be the case. Being proactive with cost down spot buys can help mitigate future issues and save you money in the long run.

Spot buys are often one-off, smaller orders and occur when there is an unexpected or immediate need, such as when a part goes obsolete and an alternative is needed or when not enough stock was acquired to fulfill a project. Having a good relationship with a supplier like Boly who can keep an eye on the demanding for your parts means that over produce and high inventory risk can be avoided.

Sourcing an assemble module rather than a single component

When sourcing a single component from different factories, you need to take the incoming dimension inspection individually or have to be sent to a lab for inspection and testing, which can be costly. If possible, bundling any services needed can be beneficial to overall manufacturing cost reduction. By working with a supplier like Boly who can handle any necessary secondary and assembly services. We offer in-house testing capabilities, OEM and EMS companies can end up saving more money to send out parts to a third-party lab. This will cut down on costs associated with in-house assembly and testing.

Sensible Electronic Manufacturing Cost Reduction
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All engineers are skilled in the design, optimization and validation of your concepts, prototypes and next generation products and systems.
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A complete service, from trial run, manufacturing, functional test to result analysis. Deliver high-quality sub-assembled modules.
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Supply Chain solution

Highly experienced at managing complex supply chains on behalf of customers. Specializes in annual contracts and blanket orders with min-max inventory agreements.

More from BolyCost reduction scheme for Industries

Over 48+ years of experience and extensive knowledge of the machining industry enable us to provide the competitive components price for companies in a wide range of industries, including:
Precision Metal Components for Industrial

Industrial

Precision Metal Components for Automotive

Transportation & Vehicle

Precision Metal Components for Power tools

Consumer