A successful partnership, twelve years strong

BACKGROUND

This international company is recognised as being a leader in the field of high performance non-destructive test (NDT) products. Prior to its relationship with Paragon, the company relied upon in-house purchasing and materials control, with assembly being carried out partly in-house and partly by a number of sub-contract assembly companies.

- initial decision to trial procurement and kitting service: Paragon TCM® was selected to manage procurement for one of the company’s product families to provide kits of components to feed the customer’s in-house assembly area.

- need to control costs: the company operates in a highly competitive international market where operating costs have to be minimised.

- complex products: the company manufactures a range of highly complex products and needed complete confidence in the quality of service.

- ultimately sought a single point of contact for all procurement and assembly: by 2002 the company had expanded substantially and decided to investigate complete turnkey assembly services.

SOLUTION

Having proposed the use of its unique EMM (Electronics Manufacturing Management) service, Paragon now provides the company with a complete outsourced manufacturing solution – kitting, contract manufacturing and test.
This has produced tangible benefits to the company:

- reduced purchasing and manufacturing costs: Paragon’s vast experience in component procurement allied to the strengths of its unique manufacturing partnership has lowered overall costs.

- eliminated component stocks: using Paragon’s procurement experience and customer specific management systems, the company no longer has component stock, thereby benefiting the bottom line.

- improved build quality: manufacturing quality has improved through the use of Paragon EMM. Paragon has implemented a number of initiatives including new product test strategies.

- releasing management time for strategic development of the business: the efficiency and effectiveness of Paragon EMM meant that the ‘headaches’ associated with supply chain and manufacturing management are a thing of the past and the company’s management have been able to concentrate on developing the business both in the UK and internationally.

Quote from the company’s Managing Director

“Back in 1994, the proposal to move our procurement of components to Paragon seemed a revolutionary move, but as we approach the 12th anniversary there is no doubt that the relationship has been a highly successful one. I can also say that over this period of time, from my perspective as Managing Director, our activities in production and manufacturing have always been the last thing I have to worry about, which is a recommendation in itself”.