Shortening the chain

AUTONOV03_03

11/01/2003

Abstract
Content

Despite the trend toward increased outsourcing, the integration of compounding and molding operations at molded composite parts maker Composite Products resulted in a leaner and more economical supply chain.

Shortening the supply chain is a universal business goal in the global automotive industry. A shorter supply chain is generally recognized to be leaner, more agile, more accountable, and, most importantly, more economically efficient. However, the real economic value of a shorter supply chain has rarely been critically measured. In this case study involving molded composite parts, the value of removing a “link” from the supply chain, including the direct and indirect cost benefits, is assessed in detail.

Traditionally, a separate compounder and molder are involved in producing molded composite parts. The compounder combines the ingredients-resin, reinforcements, and additives-and produces a pellet or a sheet of material that is sold to the molder who, in turn, molds this material into a part. With Composite Products, Inc. (CPI) and its inline compounding and molding technology, these two links in the supply chain are combined into one.

Meta TagsAdditional Details
Publisher
Published
Nov 1, 2003
Product Code
AUTONOV03_03
Content Type
Magazine Article
Language
English