Simplifying the supply chain and reducing the total cost of ownership can significantly improve the overall profitability of companies that utilize wires and cables. While accomplishing these goals can be challenging, an experienced and knowledgeable wire and cable partner can help you develop the perfect wire or cable solution for your project.
However, you must be able to define your wire and cable needs accurately and convey them to your partner effectively, which necessitates understanding the supply chain process.
Want to learn more about the wire and cable supply chain process? The experts at Consolidated Electronic Wire & Cable put together an eBook outlining the five key steps of the process, from raw material sourcing to product delivery. Below, we highlight some of the insights from the eBook.
1. Raw Material Sourcing
Wire and cable manufacturers typically serve as the middle-man between raw material suppliers and customers. As a result, they must have the knowledge and skills to source the right materials for a project.
A qualified wire and cable manufacturer often has insight into current market trends regarding wire and cable materials and a network of reputable material suppliers, which, combined, can benefit you by providing you access to quality materials at a fair price.
2. Production
This step of the wire and cable supply chain process encompasses the scheduling and executing of all production activities (e.g., product manufacturing, testing, packaging, and release). The parties overseeing these activities must also manage performance checks, collect and store related information, supervise the relevant facilities, and ensure compliance with regulatory standards. Some of the factors to keep in mind when making decisions about production activities include deregulation, quality/safety standards, and tariffs.
3. Transportation
The transportation step of the wire and supply chain process involves moving the product from the starting location (typically the manufacturing facility) to the end-user. While this step accounts for less than 5% of the total production costs, it is highly critical to the success of the entire process. For this reason, it is essential to plan out the transportation of a product carefully. Some of the questions to keep in mind include:
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How will the product be transported?
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What is the cost of transporting the product through that method?
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How long will it take to transport the product through that method?
The answers to these questions depend on your supply chain needs. A good wire and cable partner should be flexible enough to respond and adapt to changing supply chain demands and conditions.
4. Product Customization
While off-the-shelf wire and cable solutions are suitable for some applications, many modern applications require highly specialized solutions. For these situations, a wire and cable partner with custom manufacturing capabilities can save you time and money by ensuring you receive a product tailored to meet your exact needs. During the product customization step, you can specify every element of the wire or cable product design, from component type and configuration to construction material.
5. Product Delivery
The last step of the wire and cable supply chain process is delivering the finished product to the final destination. While this step typically involves sending the product to a wholesale or retailer who makes it available to end-users, it can involve sending a custom product directly to the end-user.
