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ENGAGEMENT
EXAMPLES
OUTSOURCING
STRATEGY & CEM SEARCH
Telecommunications
Equipment Company
Recommended revision of
outsourcing strategy and contract
electronics manufacturer (CEM) selection
criteria. Conducted site surveys,
customer due-diligence on selected CEM
sites throughout US. Created
manufacturing agreement for client use
with multiple contract manufacturers.
"I was skeptical of
the need for outside help. However CMC
has been critical to the start-up and
future prospects of our company." -
President & CEO
"CMC has
contributed in five key areas, any one
of which would justify the engagement."
- Director, Manufacturing Operations
Medical Electronics
Company
Identified
manufacturability issues of client's
hand-held, advanced technology medical
diagnostics products. Assessed
production and distribution capabilities
of western US CEM's. Recommended work to
be outsourced and work to be performed
in-house. Reduced product unit cost by
17%, half from CMC-led negotiation.
"One of the top consulting engagements I've ever
been involved in." - VP,
Engineering
"CMC is now the
standard we use to judge use of
consultants." - Chief Financial
Officer
CEM PRICE BENCHMARK
Network Equipment
Company
Using CMC's proprietary production cost
model (PCM) and
representative board samples, assessed
client's internally developed cost model
for printed circuit board assembly used
to set prices with CEM's. Identified net
cost reductions of over $50 million
annually. Estimated client's program
profitability to each of their tier-1
contractors and recommended improved
cost model implementation strategy.
"Great work... very,
very valuable in negotiations with CEM's."
- Director, Global Supply Mgmt
OUTSOURCING
FEASIBILITY
Consumer Electronics/Automotive
Electronics Company
Benchmarked client's
internal manufacturing costs using PCM. Identified
$9 million annual cost disadvantage
versus US CEM. Assessed outsourcing
feasibility and identified net $13 million
annual value-add and raw materials
savings with 10% higher process
yield. Recommended potential CEM sites
in Mexico and Asia and relevant
capabilities.
"Independent,
unbiased analysis of our cost
competitiveness. Without a credible
third party study we would still be
arguing as to the size of any
outsourcing opportunity within a very
large window." - Director of
Financial Reporting and Performance
Measurement
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