Transforming Operations for an Electronics Contract Manufacturing Company

Locations

USA

Industries

Electronic Contract Manufacturing

Services

Custom Software Development

Client’s
Vision

Our client is an electronics contract manufacturing company specializing in building circuit boards, assemblies, and PCBs. The company handles a variety of job orders, including prototypes, turnkey projects, labor-only, and part-only jobs. Their primary challenge was managing these operations efficiently while maintaining competitiveness in the market.

Challenges Faced

Inefficient Quoting Process

  • Quoting against RFQs was time-consuming, often taking weeks.
  • Parts pricing had to be verified manually from different suppliers using Excel spreadsheets.
  • No standard mechanisms for labor cost estimation, relying on outdated methods.

Inventory Management Issues

  • Difficulty tracking which parts were used in which assemblies and ownership of parts (packing slips).
  • Inadequate tracking of available inventory, leading to either overstocking or understocking.
  • Time-consuming searches for low-cost inventory items in the warehouse.

Part Lifecycle Management

  • No system to track part expiry, obsolescence, and last date to purchase (LTB).
  • Challenges in creating and managing part relationships/aliases based on attributes.

Operational Inefficiencies

  • Lack of a streamlined process from inquiry to dispatch, including BOM cleaning, quotation, procurement, and shipment.
  • Inability to manage financial transactions effectively, including payments, receipts, credit notes, and RMAs.

Our Solution

We developed a comprehensive mini MRP system to address these challenges, transforming the client’s operations from inquiry to dispatch.

Key Features

Effortless Part Management
  • Manage all part attributes, configurations, and mappings (packaging alias, alternate parts, drive tools, etc.).
  • Configure industry standards (IPC, ISO) and define acceptable shipping countries.
  • Control authorized suppliers and restrict part settings.
  • Attach datasheets and photos for actual
Seamless Sales Management
  • Track sales orders, create blanket POs, and manage RMA flows efficiently.
Intelligent Material Management
  • Issue purchase orders, process material receipts, and maintain accurate inventory control.
  • Utilize LED-enabled part search and manage consumption & UOMs effectively.
Optimized Production Management
  • Create and manage work orders, define operation flows, SOPs, and Do’s/Don’ts.
  • Allocate supplies, materials, and tools seamlessly.
  • Track activity and manage feeder systems for smooth production.
  • Manage ECO/DFM, defects, and material traceability from receipt to consumption.
  • Track employee and machine productivity and manage resources effectively.
Efficient Kit & Bin Management
  • Manage kit allocation, preparation, release, and return for streamlined production.
  • Provide a glance at build feasibility.
Comprehensive Financial Management
  • Track invoicing, credit & debit memos, and link them seamlessly with RMAs.
  • The task involves the creation of packing slips, invoices, refunds, and easy management of write-offs.
Advanced Assembly Processes
  • Handle individual and group assembly, manage RFQs, and ensure part validation.
  • Integration with digital cameras to capture board images directly for Quality Control (QC) purposes.
Enhanced Functionality
  • Custom Report Builder: Generate reports tailored to specific needs and data analysis requirements.
  • Enterprise Search (Quick Search): Powerful search function across the entire system.
Supplier Integration
  • Integrated with API supplier systems to pull real-time pricing for each part.
  • We have developed a unique labor counting mechanism based on 20 years of industry methodology.
  • Incorporate fixed and operational expenses based on job type and duration.

Results

Reduced Quoting Time

The new system drastically reduced the time required to quote against RFQs, improving responsiveness to client needs.

Enhanced Inventory Management

The process of inventory tracking and management was simplified to ensure optimal stock levels and minimize search times.

Improved Operational Efficiency

A cohesive process from inquiry to dispatch, improving overall productivity and reducing errors.

Scalability

The system’s architecture supports future growth and scalability, allowing clients to expand their operations seamlessly.

Cost Savings

More accurate labor cost estimation and part management reduced unnecessary expenses, enhancing profitability.

Conclusion

This case study demonstrates our capability to deliver complex, scalable, and user-friendly MRP systems tailored to the unique needs of contract manufacturing companies. Our expertise in system integration, real-time data management, and comprehensive process automation ensures our clients achieve operational excellence and sustainable growth.

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