Component Manufacture & Controlled Supply Chain

Air Quality Improvement

Sector: B2B within the high quality medical sector

Summary: NPI helped Air Quality Improvement to manufacture all components and operate at a profit.

How NPI have helped Air Quality Improvement

• Controlled supply chain
• Improved quality
• Reduced delivery lead time
• Fixed unit cost

What was the Business Challenge?

Air Quality Improvement had been manufacturing from their own premises but had encountered various problems when, after winning an award, they experienced sudden increased market exposure and product demand at levels they were unable to support. Raw material supply was under very little control and the acquisition cost of emergency supplies was inflated and not recoverable.

Build quality became inconsistent with the threat that failures out in the field could lead to a loss of credibility and an increase in product maintenance costs. Overall structures and procedures normally found within companies were missing and therefore profitability had been significantly eroded. The dilemma was whether to rebuild the company or to outsource all manufacturing.

What was the NPI Solution?

Given the ongoing need to supply orders, NPI had to introduce core products to the market in a very short timeframe. Engineering drawings and manufacturing instructions did not exist and therefore had to be created as a base platform, in addition to a supply chain, which had to be established with agreed component lead times and price levels. The products had a combination of mechanical, electrical and electronic elements which demanded reliability and a high-quality cosmetic appearance.

NPI had the engineering capabilities to manufacture all components with the exception of the printed circuit boards for which we have a manufacturing partner. A dedicated manufacturing cell was created and staffed and saleable units were ready within five weeks.

What was the Customer Outcome?

Our customer was able to deliver against orders already won, and operate at a profit. Cost per unit became fixed and lead times consistent. Product quality stabilised and therefore, the credibility and maintenance costs were averted.