The client is a global leading electronic manufacturing services (EMS) company with a presence across four continents and is well-known for producing electronics for power technologies, protection, and control systems, energy transmission, and distribution.

Product development and manufacturing teams were facing several challenges in the fast-evolving world of technology, especially when it comes to managing accurate component and part information in ERP system. With a focus to introduce new products, the client’s mission was to create, enrich and maintain clean component databases with detailed part parameters and compliance information.

Due to the client’s lack of expertise in Component Engineering, Data Transformation, and Multi-Lingual Sourcing, the client wanted the project outsourced to a more capable team at an affordable price. �ۿ۴�ý designed a strategy to address the client’s component engineering requirement by keeping product development and manufacturing environments at the core. �ۿ۴�ý proposed setting up a dedicated team of component engineers carrying in-depth combined knowledge of manufacturing, product design, and regulatory compliance.

A global supplier engagement team will assist the component engineers in gathering parts technical data and compliance document from suppliers in multiple languages worldwide.

The component engineers are expected to:

• Capture the critical parameters for various parts through web sourcing and direct engagement with suppliers
• Gather all compliance related information especially, RoHS and REACH compliance
• Ensure all the parts data contains all the mandatory parameters in place
• Include all technical, compliance and process data in the BOMs
• Deliver updated materials/parts database with a quick turnaround time

“Under this paradigm, we help organizations redesign their data management practices and transform their processes to achieve maximum efficiency across various functions. Through this partnership, we hope to help our client obtain valuable insights into costs and supplier management, as well as help them stay ahead of technology and remain agile.”, says CK Bharathan – Head of Compliance and Master Data Management, �ۿ۴�ý.

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• Helping you accurately assess the Bill Of Material ( BOM) to decide which parts need to be produced internally & what needs to be sourced from external vendors
• Enables research of low-cost alternatives for items that need to be procured
• Works in identifying Low-Cost Country ( LCC) sourcing options
• Facilitates updation, maintenance & tracking of inventory to ensure it is compliant with environmental rules & laws of the land.

• Easier maintenance of detailed part descriptions along with their electro-mechanical parameters and compliance & packaging information on an electronic component database for easy reference & use.
• It helps them track high-risk components within active products & deliver early obsolescence alerts!

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Your plan should include adequate resources for filing and retrieval of all engineering BOMs. This can be done easily with specialist BOM management software. Depending on the system installed, you can make and record BOM changes, create assembly reports, and BOM scrubs archived data.

You can also use BOM software as a component cross-reference tool to check which components have been used in previous projects. This can cut costs enormously, avoiding the need to build parts from scratch.

A mere 8% of the budget for a new product is spent during the design phase. However, that design has already determined 80% of all future spending, 60% of it at the creative concept phase. An ill-thought creative concept idea can be perilous to profits once you get to the manufacturing stage – not through the design itself, which may be brilliant, but through the costs incurred during the product lifecycle. However cutting-edge a new bag-less vacuum cleaner or hybrid auto is, it’s no use if you have to price it out of reach of the consumer market in order to break even.

Understanding the importance of things like regular BOM scrubbing is essential to modern engineering. We at �ۿ۴�ý Technologies are experts in the fields of mechanical design and high-tech component engineering, with tailored to your exact requirements.

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Around 70% of a product’s design costs are realized before it goes into production, after which there is little leeway for reducing them. Post-production decisions can add a further 10 – 15%. The rest is taken up with administration, sales and marketing, product distribution, etc, which are usually part of overall company policy.

When cost reduction consultants look at how to improve company profits, generally the first thing they suggest is to reduce R & D (research and development) expenses. They will place the emphasis on sales, marketing and other post-developmental areas. However, this is tackling the problem from the wrong direction. In both electronic and mechanical engineering, the main costs are decided at the point of inception – when the initial CAD drawings are done. Effective cost reduction management takes place at the very start of the design cycle.

Experienced cost reduction analysts see two common and recurring problems with new technology, such as novel ASIC designs. The first is underestimating how quickly the product can be undermined by the competition, mistakenly believing sales figures will continue to outshine costs. The second is miscalculating production costs, causing last minute design changes, extended periods of development and added manufacturing costs. Poorly budgeted manufacturing BOMs and poor obsolescence management are other areas of concern. We at �ۿ۴�ý Technologies employ experienced cost reduction analysts, and offer a comprehensive range of component engineering services including BOM cleansing and obsolescence management.

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The earlier product development costs are incurred, the harder they are to remove later. The engineering BOM should not just reflect system design, but manufacturing methods as well. For this reason, the term manufacturing BOM is often used.

The key to cost-effective system development is Concurrent Engineering – the practice of correlating hardware design with end-point manufacture. Evidently, using existing manufacturing processes is the most cost-effective way forward, but where a new mechanical design warrants a new manufacturing process (or modification of an old one), the two should be developed concurrently.

Concurrent engineering also means the active participation of everyone concerned with the project, from engineers to OEMs to vendors, from an early stage. To cost reduction consultants, co-locating the mechanical engineering and manufacturing sites ensures low production costs and a high level of teamwork. While costs can often be cut by outsourcing various elements abroad, the company must ensure it is getting the same level of quality and service it would in-house or from local providers. Whether the project is localized or not, good project data and master data management are essential.

We at �ۿ۴�ý Technologies offer a wide range of mechanical and . Our cost reduction consultants can evaluate your entire project, streamlining costs and generating tremendous savings.

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Good obsolescence management (OM) is about looking ahead and being prepared for the worst that can happen – such as a component suddenly becoming unavailable. consultants point out that OM doesn’t save your business money; it merely stops your costs getting any higher.

Skimping on your obsolescence management services could cost you dearly in other ways: if you suddenly find yourself unable to replace a component it can delay shipments, hold up production and even lead to a total rethink of the system design.

The rate of component obsolescence is increasing year by year, driven by the changeover to mainly COTS (commercial off-the-shelf) components and diktats. In specialist areas like the aerospace industry, where components are traditionally in circulation for several years, it’s becoming increasingly difficult to find reliable, genuine replacements for components such as obsolete semiconductors.

Many engineers working in defence and aerospace have got around the problem by stockpiling key components. However, they may not be able to do this much longer. There is talk of aerospace components being removed from the RoHS directive “exemption” list. If this happens, it will be a springboard to widespread component obsolescence. Remodelling of hardware designs and the adoption of new manufacturing processes are just two of the problems analysts foresee.

We at �ۿ۴�ý Technologies offer a range of obsolescence management services, from PCN alerts to alternate sourcing.

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