User talk:George S. Peters
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Outsourcing Philippines
Standard parts. It may be advantageous to outsource the production of standard parts that have widespread use, no variations, and are not likely to go obsolete. If these conditions are met, these parts can benefit from mass production economies-of-scale, especially if the parts have been standardized around high-volume industry-standard parts. These can be A procured@ by pull-based automatic resupply techniques, like kanban or steady flows, since these parts will be used one way or another. Thus, these parts may be suitable for outsourced batch production and less-than-rapid shipment.
Modularity. To eliminate interface complications, outsourced production should only be allowed for parts and modules with consistent, clearly-defined interfaces that are easy to integrate.
Skill, talent, and costly equipment. If the assembler lacks special skill, talent, and costly equipment, it may take advantage of a supplier= s capabilities providing all the other issues discussed herein are adequately addressed. Try to specify standard versions or suppliers= products. If these need to be customized, be sure to work together to make sure the customization can be done quickly and easily. It may be advantageous to encourage suppliers to implement mass customization techniques.
Company-specific lines. An innovative outsourcing arrangement would be for specialized outsourcing companies to set up company-specific parts production lines in or nearby assembly plants. These lines would build on-demand any part needed, be it mass-customized or standard products. The greater the range of parts, the more would be the need for the outsourcer to use Build-to-Order principles. The assembly plant would get near-instantaneous delivery in a seamless integration with their operations. Of course, for this to work, the demands of product assembly would have to be satisfied by the flexible capabilities of the parts lines, which would be structured to accommodate all the products in that facility. This may require that products be designed around these part lines or that product families and flexible part lines be concurrently developed.
Cooperation. For Outsourcing Philippines to be successful, very good cooperation is imperative in the form of supplier partnerships, where all the suppliers work closely with the assembler to optimize cost, delivery, and all aspects of quality and reliability. Outsouring proposals should be carefully scrutinized for any suppliers whose relationships have been adversarial or in any way uncooperative.
