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Leveraging China Supply Chain with UT Metal's combined manufacturing capabilities

"Sometimes it just makes sense to ship the sub-assembly rather than several individual parts. The result is lower shipping costs and better quality. UT Metal has a combined manufacturing capabilities for the metal fabrication and surface treatment and this allowed us to improve our cost competitiveness whilst holding our margins."

                                                                              Max Rockman, Group Purchasing Director

Business Challenge

Problem - A large store fixture distributor (USA) was at the product transfer stage for low-cost manufacturing solution and needed a reliable manufacturer to help supply their different store type fixtures and install over 100 stores over an aggressive 12-month time-frame. Given that the majority of this company's supply base and manufacturing experience was in USA, they needed to look further a field to the Far East to find a supply chain that could deliver the product at the correct price.

The Solution

Rather than embark on this "journey" on their own, the company decided to leverage its manufacturing partner, UT Metal, to identify, qualify and manage a cost effective and reliable supply chain in China. The manufacturing was identified in such areas as store fixture, steel furniture and some of the acrylic display products.

Lpallet racking china storage ucky, UT Metal is the quality metal manufacturer in China that can do all the above in house except the acrylic display. On an ongoing basis, this customer relies on UT Metal to manage their China supply chain for sourcing the acrylic parts for them. Then UT Metal gets assemblied with our own metal retail fixture and ship across. The Supply Chain is really benefiting from the professional quality management and net cost savings as well. Rather than buying products from different suppliers, getting the whole assembly unit lowers the shipping cost and better quality.

The Results

1. Tooling costs for the store fixtures have been reduced by approximately 60 % over the past 4 years.

2. Part costs have been reduced significantly with the reduction varying across the range of parts and sub-assemblies with UT Metal generating the largest savings.

3. The dollars spent with low cost yet quality sourcing has grown by over 50% per year for the past 4 years.

4. The customer's sales have remained stable during a difficult market due in large part to a lower cost basis.


Complete Manufacturing Project Management

"The work we have done with UT Metal has made it affordable for us to broaden our product range and introduce a larger number of new products. We are very impressed with their responsiveness and attention to details in this compelte project management process."

                                                                                 Terry Wolf,Operations Director

Business Challenge

Problem - A German Retail Equipment Dealer needed some unique sets of wood-metal combined custom cabinets for supporting an opening of Cafe shop in four weeks (normal lead time is four to six weeks).To make this happen,the company needed to find a manufacturer, operating in a very efficient way to meet the market schedule, also able to translate the concept idea of this device into working manufacturing processes. 

The Solution

UT Metal's accomplishment in working with the client's engineers to turn the idea into production drawings in just 2 days and further prototypes in 4 days. This quick turnaround and the detailed communication between UT Metal's and customer's engineering departments made all this happen. Customer's deadlines were met and jigs/tooling was completed in 7 days and mass production in 12 days!

The Result

1. The tooling lead time has been shortened to 7 days to meet the production timelines.

2. Part costs have been reduced by at least 20% with the tool design if manufactured elsewhere and 80% over if sourced locally

3. The mass production ramps up very quickly in the 2 months and the daily output is over 3 K to meet the market demand.

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