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www.us-tech.com


May, 2018


Sanmina Achieves 10-Day Lead Times for Industrial Systems OEM


By Gelston Howell, Senior VP of Marketing, Sanmina A


global industrial systems com- pany was struggling to meet customer demand for its family


of complex electromechanical con- trols. Supply chain challenges in- cluded long component lead times and management of several system variants. Sanmina redesigned the company’s global supply chain to con- sistently achieve a 10-day system de- livery.


Lot Size of One The tier-one industrial controls


OEM needed its complex systems built to order in lot sizes of one and consistently delivered within a 10- day lead time. The existing solution


With a mix of technology, including electronics, hydraulics, motors, pumps, and valves, and a finished system that weighs half a ton, Sanmina developed a process to turn out a


unique product in less than 10 days for each.


resulted in a significant backlog of past due orders and on-time delivery issues. The supply chain was com- plex with over 1,200 components,


Sanmina uses projected forecasts and actual shipments to predict the availability of discrete components.


sembly and tested using three-phase power at up to 600V in systems weighing over 1,000 lb (453.6 kg). The supply chain, manufacturing and test process needed to be re- designed to achieve lead time objec- tives while meeting stringent safety and quality requirements. During visits to Sanmina manu-


facturing facilities, the customer im- mediately recognized the company’s


plify supply chain complexity. San- mina’s proposed approach was com- pelling.


Four-Part Solution Sanmina established a cross-


functional customer focus team, in- cluding program management, order management, materials, manufac- turing process engineering, product engineering, quality engineering,


more than 130 suppliers and cumula- tive lead times of 34 weeks. Multiple technologies, including


electronics, hydraulics, motors, pumps, and valves were connected with more than 100 cables per as-


expertise with complex system man- ufacturing in industries where safety and reliability are critically impor- tant. Sanmina’s PCB assembly, ca- bles, enclosures and system integra- tion capabilities would greatly sim-


and test engineering. The company solved the overall delivery and lead time problems with a four-part solu- tion:


Supply Chain Redesign. Projected forecasts and actual shipments were used to develop an accurate forecast for all discrete components. Avail- ability of components to support the 10-day lead time was achieved by im- plementing a safety stock program, based on the forecast analysis and historic component usage data. En- closure fabrication, cable subassem- blies, PCB assembly manufacturing, and test were transferred to Sanmi- na facilities and local suppliers.


Custom Order Management. Each order is unique. The Sanmina order management team provides new cus- tomer orders to the customer focus team. The manufacturing process en- gineer validates that the configura- tion can be built and works with the customer to resolve any issues. The product engineer develops all neces- sary documentation. Test engineers validate the custom test software for use during production.


Configure-to-Order Manufactur- ing System. Originally, each system was built to order with all compo- nents issued to the kit, without pre-


Continued on next page


See at SMT Hybrid Pkg., Booth 4A-458


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