By Paula Muesse
I have been a buyer during my career. I initially thought finding the best PRICE on products was the short answer to ‘finding good suppliers’ But I quickly learned, what makes you the Best Buyer in the Business encompasses much more than PRICE. Get out your job description; I bet you find that one of your fundamental responsibilities is supplier selection, and though price is the easy test, it will not measure the value of a good supplier relationship on your way to stardom.
If your company is like most, you are managing a percentage of the overall corporate purchasing, spread across many suppliers (maybe too many). Your employee evaluation will measure your work against criteria like materials planning, inventory control, timely delivery, claims processing, and most certainly price.
You cannot successfully manage a stable of suppliers if you must constantly remind, follow-up, cajole, beg, etc. to get the product when you need. You are going to want allies in your efforts to deliver quality product, on time and in budget to your production line. Think of it as building a team of which you are the captain. You are going to want good strong players, who believe in teamwork, communication and understand your strategy for success.
Remembering all of this, you are going to aspire to think about a few additional requirements, other than price, when selecting your allies for your championship procurement team.
Will this supplier perform? More importantly, will this supplier perform under pressure? Your supplier should have stellar fill rates, internal strategies to manage inventory and inventory commitments. What about timely response rates and not just for order acknowledgements? You are going to need quick answers if there is a change in your production schedule and proactive communication if your supplier has hit a speed bump in theirs. Something is late? A good supplier will proactively notify you, offer options – partial shipment now, no cost expedited freight, so you can inform your superiors and make the best decision to keep the production line running.
Sure, every supplier touts product quality, but quality is comprised of several elements: most important are products that meet the specifications, but also products that are consistent from one delivery to the next, packaging that is well considered and functional on the shop floor, labeling and pallet structure for ease of receiving. True quality considers these requirements and delivers the same results every time. But how do you know in advance if they have the quality they claim? Consider getting industry references, request copies of ISO and other standards certifications, have them complete your vendor questionnaire, request a site visit and review the Quality Assurance procedures for yourself.
Of course, price is key, but price must equate to value. You may get a fractionally better price per widget, but the savings might have been created by the supplier cutting SERVICE and QUALITY. Oft overlooked items in TOTAL COST include transportation and the administrative burden of dealing with antiquated or labor-intensive purchase order or inventory availability administration; stock outs can have huge financial implications that have nothing to do with the price, but cost your company plenty and you several nights of sleep. Lastly, consider the long-term pricing. Suppliers may get you an ‘introductory rate’ to win your business, only to put you on a commodities or overhead fluctuations rollercoaster ride. You want a price you can trust and not be surprised with every PO. It is not a savings if managing the relationship, the price or the delivery schedule just became your full-time job.
Are you a small fish in a big pond? Does your supplier make site visits? Do they know your business, your customers, your industry? Do they have tools to help you manage inventory levels as production levels shift? Are they responsive and flexible? Are they willing to complete required paperwork timely, set up electronic interfaces, utilize your portals or other company practices? Good suppliers feel like a member of your personal supply-chain team; working with you every step of the way, making your job easier. GREAT suppliers notify you of improvements in parts, industry practices, safety specifications, internal business processes. They are working continuously to improve their value in the marketplace and to their customers.
A T-Shaped supplier has a breadth of understanding and a depth of industry expertise. These competencies support product design, development and improvement which will improve your top line revenue and make sure your product is going to be a good value. What about their organizational capabilities? Do they have VMI capabilities or the infrastructure to work with your VMI or distributor of choice. Your supplier team needs strong back of house capabilities to support a strong front. Ongoing efforts by your supplier to transform internal processes will inevitably lead to cost savings for your company. Capability drives future growth.
What is this supplier’s staying power? Seasoned suppliers have deeper and more diversified revenue streams. Customer and industry mix play a vital role, especially when combined with verifiable financial strength. Long-term suppliers must have the ability to withstand market pressures and changing times. Can you rely on this supplier on a daily basis? Do they have mechanisms in place to support your buying patterns? Can they accept a long-term commitment and execute the releases and deliveries as specified? Are their demand planning systems sufficient to prevent stock outs? All these considerations will shore up your reliance so you can sleep at night. You want a partner you can rely on.
SIERRA PACIFIC ENGINEERING AND PRODUCTS is the access hardware supplier you have been looking for. As an ISO 9000 certified company we pride ourselves on customer service, quality products and industry leading designs. For 35+ years, we have grown in the number of customers and industries we serve and proven our innovation with over 80 patents. We support our customers everyday with the transparency in supply chain and demand planning provided by Oracle’s R12 ERP system and custom developments that give us 36 months of product visibility at a glance. Our employee owners strive to exceed expectations in every department across our locations in California, Texas and Illinois, and have a vested interest in the financial strength and value of the company. Let us help you Be the Best Buyer in the Business.
Enjoying the Counter-Intuitive
When I was interviewing, and Sierra Pacific Engineering & Products (www.spep.com) told me they were a 100% employee-owned company, I didn’t think much of it. I smiled, nodded, and tried to reflect their enthusiasm about announcing it. I had heard about employee-owned companies (also called ESOPs), but wasn’t sure how it worked. I will say that I was completely intrigued by ownership that would sell the company to its employees. What values would motivate sharing the wealth rather than extracting it (like other companies I had worked for)? It seemed like a sacrifice of epic proportions. It was completely counter-intuitive.
And the more I contemplated this, the more I realized, I love the counter-intuitive. Some of my biggest gains have come from the counter-intuitive.
As a coach for youth sports (soccer & lacrosse), I learned that I could win games if I didn’t yell my “wisdom” from the sidelines to my players. I figured out that we developed better as a team when I focused attention on effort rather than results. I tested and discovered that it was better to ‘sit’ a star player (who needed a break), and give a hero’s opportunity to a low to mid-range player. All of those concepts were counter-intuitive.
The fact that my wife was attracted to me (a somewhat boring and average, but consistent, engineer) instead of a rock-star or professional athlete. Counter-intuitive.
When I was in the Marines bootcamp, our drill instructors taught us to charge gun-fire if we ever found ourselves in an ambush. Fortunately, I never had to test that counter-intuitive lesson.
All these counter-intuitive lessons make sense, in a peculiar way. They are counter to what seems obvious, but incredibly effective in their simplicity.
And we come back to ESOPs (Employee-Owned companies)… what have I seen? As I’m writing this, I’ve only been with the Sierra Pacific Engineering & Products for about 50 days. Well past the “honeymoon” phase (it was actually surprisingly short),; I am deep into a few projects. There is an energy-level that is on par with start-ups, only we have consistent cash-flow, long standing customer relationships, a tested supply chain, patented custom parts, and a product design team with over 200 years of experience combined.
Our HR department is relaxed but very competent and effective. Our sales group chats with engineering even when they don’t need anything. The bathrooms and the warehouse are continuously clean (not just after they are serviced). When I don’t know what I’m doing wrong, co-workers help me without exasperation. When I go to the back shop and submit a work order, it is completed swiftly and with an attention to detail that is above and beyond the expected. It’s refreshing!
The simple beauty is an employee-owned company has turned co-workers into partners. As fellow owners, decisions large and small are made using the same values that created the ESOP in the first place; sacrificing for the benefit of the team.
Now I understand why my interviewees were so jazzed when they spoke about being an ESOP. When all employees benefit from the success of the company, every single employee owner is focused on taking care of the customer and exceeding expectations. And that’s why I’m writing this article.
Looking forward to propagating the counter-intuitive.
Check us out at www.spep.com.
By Jim Lucas
Do you need outstanding locking action, a good level of force, and superb holding power that is convenient to use? Toggle Clamps are the wall-mounted light switch of the manufacturing world, and while the variety may be intimidating at first, the selection criteria for these versatile tools is quickly learned.
First, toggle clamps are simple mechanisms that hold things together. They generally consist of 3 primary components that are of interest:
There are also linkages that affect the motion (or stroke), and attributes like the holding capacity and the clamping force. While applications may vary, I’ve found that most people that need toggle clamps aren’t really concerned with these details because it’s more of a size & function application (and the application generally doesn’t come close to the holding capacity or clamping force). However, just to be complete: the “Holding Capacity” is how much force is required to overcome the clamp when it is in the locked position and the “Clamping Force” is how much force the clamp can push down on a work piece.
Toggle Clamps work base on a simple linkage-system. The system “locks” or “clamps” when it is over-center. When a clamp is in the “locked” or “over-center” position, it can only be released by pulling the handle or by overcoming the holding capacity.
There are three basic toggle movements: vertical-hold down clamps (force is perpendicular to the base), horizontal-push clamps (force is parallel to the base) and horizontal-pull clamps (force is also parallel to the base, but hooking or pulling something in- also known as a squeeze clamp).
Within each category, there are several variations of handle movements.
Furthermore, there are several items in our catalog that aren’t located in the toggle section that could be used for the “Pull” Toggle functionality (aka- the “Squeeze” Toggle):
These are generally called “Draw latches” and are considered very close cousins to the toggle switch. They are used in a similar applications. If you want to sound like a pro, try using the following terminology:
Once you have a general idea of what you want, give us a call @ 888-444-6437 or download some parts from our website www.spep.com.
If you have any technical questions or comments, or you want to show off your unique toggle application, feel free to send us an email at firstname.lastname@example.org.
By Jim Lucas
As an engineer at SPEP (a supplier of industrial access hardware- like hinges, latches & handles), I'm fortunate to work in industries spanning everything from controls to medical devices to RVs. Even though we have more than 3000 items in our catalog, we have more than 3000 additional products that are custom made for per customer request. As you can imagine, these additional products are a result of working on fast-paced projects. In order for these projects to be successful, we need to generate and turn-around prototypes, drawings & digital models quickly.
While I’ve picked-up a few tricks by taking (and teaching) some SolidWorks courses and certifications (like the CSWA & CSWP). I’ve found a separate methodology based on 2 principles. The first is to try to get really good at a few moves (instead of knowing every move). This comes from a Bruce Lee quote: “I don’t fear someone who knows a thousand different kicks. I fear someone who has practiced a kick a thousand times.” The second principle is to minimize time clicking in menus, and maximize time designing parts. This is done by working smart and using a variety of hot keys & mouse gestures.
In order to break the habit of clicking in the Command Manager and using the Feature Manager, force yourself to practice by going in “Jedi Training Mode”. This is done by pressing F9 (hide Feature Manager Tabs) and F10 (hide Command Manager).
One last tip before getting into the shortcuts. Remember that shortcut keys are almost entirely customizable. If there is a certain feature you like but it’s buried away on a remote menu you can give it its very own shortcut through the options menu.
If you discipline yourself to use these shortcuts for 30 days, you’ll find yourself spending more time on building and less time digging through menus. This will make you far more proficient in your classes, give you a higher chance to pass the CSWP but most importantly, the speed you want when you are making your latest creation.
If you have any recommendations for speed tools you’re using, or for our next article, please let me know at email@example.com.
At Sierra Pacific Engineering & Products, we are proud to be a premier supplier of access hardware to a variety of industries and product makers. Our new product catalog is now available and we have added over 600 new products and have earned many new patents. Please check it out for an exhaustive list of high-quality products. It is available in both English and Spanish and can be downloaded from spep.com. Or call 800 433-5554 and we will be happy to send one out to you.
Congratulations to SPEP's new 100% Employee Stock Ownership Plan (ESOP) vested retirees!
Graciela was part of the SPEP team for over 10 years and Myrna for 17 years. Thank you for all your contributions and may you enjoy retirement.
SPEP is proud to announce that we recently added a Robotic Welder to automate our welding process.
This allows for improved weld control and ensures achievement of maximum precision.
We are looking forward to increasing our productivity with the help of Sierra Pacific’s robotic welder!
Sierra Pacific Engineering and Products is a proud member of The National Association of Trailer Manufacturers (NATM) and will be attending its much anticipated annual trade show in late February. NATM promotes trailer safety and the success of the trailer manufacturing industry through education and advocacy. It is a high priority of theirs to continuously advance trailer safety and these trade shows greatly aid in showcasing the latest in the industry. NATM's values include:
To learn more about NATM please visit http://www.natm.com/