In 2014, a Canadian manufacturer of natural gas technologies for the on-highway market visited NewStream Enterprises (NSE) to discuss supply chain management options within the United States.
The manufacturer, based out of British Columbia, was at that time completing all warehousing, kitting, and distribution services for its United States based OEM customer in house. As a result, its on-time delivery metric was averaging 65%.
The manufacturer realized it was necessary to focus on its core competency of manufacturing and made the decision to outsource the supply chain management piece to NSE.
NSE worked with the manufacturer to create a custom-fit program with an end goal to not only increase on-time delivery, but also make a positive impact on lead times, inventory management and customer service.
Product was transferred from the manufacturer to NSE by the end of 2014, with warehousing, kitting, inspections, packaging, and distribution services starting at the beginning of 2015.
By utilizing NSE’s supply chain expertise, the manufacturer was able to increase its on-time delivery to its OEM customer to 98% in less than 12 months.
NSE continues to provide solutions for the manufacturer, including transferring ownership of material to NSE, procurement, flexing warehouse space as necessary, rework services, and returns management.
On-time delivery with NSE services vs 65% in house
A Canadian manufacturer needs a solution provider to increase on-time delivery and reduce lead time to its United States OEM customer.
Utilize NewStream’s warehousing, kitting, and packaging services, as well as its prime location.