Why Production Matters in HMLV Aerospace OEM Supply Chain Sourcing

Picture of Dennis Delgado

Dennis Delgado

Chief Product Officer
Picture of Dennis Delgado

Dennis Delgado

Chief Product Officer
Why Production Matters in HMLV Aersopace OEM Supply Chain Sourcing SyncFab

Aerospace OEM parts buyers can benefit from including consistent volume production orders alongside irregular lower volume prototype orders as part of a robust and comprehensive sourcing strategy that emphasizes a win-win approach to build and encourage supportive, long-lasting, and responsive supplier relationships. Such an approach is not only a good business practice but also essential for ensuring a healthy, agile, and responsive supply chain that can accommodate the variability of available capacity from a wide range of medium and small suppliers.

In today’s volatile and uncertain economic climate, it is critical for OEM parts buyers to balance their demand for high mix, low volume prototype orders with sole source and low mix, high volume production orders. Such a balance is necessary to offset the overall manufacturing costs, RFQ costs, personnel costs, equipment depreciation, energy costs, and most importantly, the more demanding supplier scorecard performance from higher churn prototyping suppliers as opposed to lower turnover production suppliers.

By incorporating consistent production volume demand alongside the small volume fast turnaround prototyping demand, OEM parts buyers can preserve a healthy, agile, and responsive supply chain and supplier network. This approach not only benefits the OEMs in terms of cost savings and supplier evaluation scorecard performance but also supports the growth and development of their suppliers, especially small and medium-sized businesses.

In today’s market, as some suppliers become busy or unavailable, it is crucial to have a diverse network of suppliers with a wide range of capabilities and available capacity. Including consistent production volume demand as part of an RFQ sourcing strategy ensures that suppliers remain responsive, and the supply chain remains resilient, despite market fluctuations.

In summary, a win-win approach that balances demand for high mix, low volume prototype orders with sole source and low mix, high volume production orders is crucial for building and maintaining supportive, long-lasting, and responsive supplier relationships. Such an approach ensures a healthy, agile, and resilient supply chain that can accommodate the variability of available capacity from a diverse network of medium and small suppliers, promoting sustainable growth and development for all parties involved. SyncFab is the perfect partner for your prototype to production planning and sourcing strategy on your journey to building and maintaining an agile, robust and sustainable supply chain in an increasingly busy and competitive market. Our team works hand in hand with intelligent and informed supply chain leaders and professionals to best manage their triple bottom line.

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