Logistics and Inventory Management Services
Once capable suppliers are identified abroad and good parts are made, transporting them to point of use is essential. On paper, this is easy. In practicality, it has proven very challenging, especially recently.
Transport within China can be unpredictable and here is why:
Parts getting loaded/consolidated at port and put on containers
Timely departure involves several variables out of the control of a north American importer
Getting loaded containers to “pass” pre-departure has proven challenging
Vessel speeds via ocean, routes, etc. are sometimes unpredictable
Longshoreman who unload containers and prepare shipments for land transport within the United States can strike or have capacity issues
Chassis capacity, truck, and rail capacity, etc. have all seen strain in recent years for a variety of reasons; good and bad. Even getting things from the local airport or rail yard to our nearby Warehouse, at times, can be tricky when we are expediting product.
Again…things that are not necessarily fun to monitor, manage and report on.
Inventory Management Process
We are familiar with the failure modes, weak spots, do’s, and don’ts. We leverage a very close relationship with our third-party logistics provider as well. They know business abroad and stateside. They have real-time intelligence and are capable of reporting on a real-time basis.
We are in it for the long term together. Logistics services have been commoditized so much in a very competitive space. As an expert in Logistics and Inventory Management, Mechanical Power values having a very close relationship with a highly knowledgeable and nimble logistics provider.
For decades, Mechanical Power has taken a customer-focused inventory approach. While lean manufacturing, just-in-time delivery mandates and other principles for larger companies have evolved over the years, we understand the importance of strategic safety stock.
Unfortunately, demand forecasting has proven challenging across many industries. Everyone gets surprised. We do everything in our power to pro-actively mitigate any chance of unfavorable inventory positions for our customer base.
This requires tactful, strategic, and consistent processes to ensure customer needs are met, on-time, every-time.
Our team classifies customers in two ways:
Make-To-Forecast (MTF) depending on their needs, their consumption patterns, and our overall commercial terms
The team is true to this approach and it leaves all customers feeling good about what is waiting for them when they call Mechanical Power with requirements.
Having been a privately-owned and financially diligent company for nearly 45 years, we are positioned to hold inventory levels we deem appropriate at the account level. Often with larger and public companies, there is immense pressure to keep inventory at a bare minimum for cash flow purposes.
Give us a shot and you will appreciate the value of sourcing through smaller, value-add distributors like Mechanical Power for engineered components and assemblies.
Our team relentlessly performs cycle counts, ensures inventory accuracy, constantly monitors forecast versus actual, and communicates supply/demand headlines to clients.
Contact Us Today For Your Logistics and Inventory Management Needs!
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