Improved logistics aid ladder manufacturer
When one of the UK's leading suppliers of DIY loft ladder kits needed to restructure production it turned to long-term supplier Challenge Industrial Fastenings of Bedford.
When one of the UK's leading suppliers of DIY loft ladder kits needed to restructure production it turned to long-term supplier Challenge Industrial Fastenings of Bedford.
The brief was to streamline supply of the fixing kit components, reducing cost and inventory with improved speed of response.
The stabiliser kit itself enables a user to bolt a cross beam to the base of a ladder to resist sideways tilt.
It contains a variety of steel pressings, threaded wire forms, nuts, and instructions.
In this case both companies knew from experience that partnership development of new component suppliers from the Challenge supplier base would enable a value-engineering function to be incorporated into the kitting and logistics role.
Challenge sourced all components which it is now able to procure on an ongoing basis.
Its quality role includes a 100% inspection process leading to full kitting and Kanban supply system on 24-hour delivery.
Initially sourcing was from nominated suppliers but the brief is now expanding to cover sourcing, stock control, demand planning and build, such that the manufacturer can concentrate on core competencies and simply pick from automatically replenished stock in returnable bins.
In addition Challenge is now able to take responsibility for control of tooling.
This enables its customers to benefit from the global sourcing expertise available at Challenge.
Likewise the logistics role includes supply to any site required by the customer.
The actual management of this system allows reduced inventory, with backup stock held by Challenge.
This guarantees that the customer will always have stock available, while keeping inventory costs to a minimum.
The Kanban system works on a three-bin format - one in use, one in stock at customer site, the third bin at Challenge being delivered and invoiced at the point where the "in use" bin becomes empty.
There are also savings to the customer in respect of administration time in purchasing - often a single purchase order can be issued to cover 6 or 12 months use.
The system is administered by Challenge.
This can include site visits to check stock levels where appropriate.
It is self-managing from the customer's point of view, being triggered from the shop floor.
It also assists with conforming to new government regulations on the disposal of packaging, as the system uses re-usable packaging.
(Challenge transports goods in containers, which are tipped into bins at customer site; the containers are recycled to Challenge for re-use).
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