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Optimizing tool availiability and lead time with procurement options
"Procurement options" provide manufacturers with guaranteed, reduced tool lead times in exchange for the assumption of liability for a portion of the capacity and material costs a tool supplier must incur to support this commitment. Appropriately constructed and managed portfolios of procu...
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Main Author: | |
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Format: | Conference Proceeding |
Language: | English |
Subjects: | |
Online Access: | Request full text |
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Summary: | "Procurement options" provide manufacturers with guaranteed, reduced tool lead times in exchange for the assumption of liability for a portion of the capacity and material costs a tool supplier must incur to support this commitment. Appropriately constructed and managed portfolios of procurement options allow manufacturers to control capacity availability, cost, lead time and liability, making possible predictable operating and financial performance tailored to management's objectives. By managing customer relationships with procurement options, suppliers are similarly able to significantly improve both cost and efficiency of planning and execution, and reduce their operating and financial risk |
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ISSN: | 1523-553X |
DOI: | 10.1109/ISSM.2005.1513312 |