Issue
Vibration control manufacturer not satisfied with delivery by a rubber diaphragm source. And the manufacturer is not interested in transferring demand to other approved rubber product suppliers.
Action
This project involved three custom-made rubber diaphragms used in massive shock absorbers to control vibration on laser light research tables. The original diaphragm was sole sourced. And that supplier would not support required JIT/KANBAN delivery.
Two diaphragms were a priority. Strategic sourcing among 41 rubber diaphragm manufacturers produced a 61% response rate and six quotes.
The third diaphragm was more unique. It was a convoluted top hat with polyester fiber reinforcement. After successful sourcing of the first two diaphragms, the team was more confident of the challenge. Strategic sourcing among 67 rubber diaphragm manufacturers produced a 63% response rate and three quotes.
Prototypes were tested, proven to be superior quality, and approved.
Results
$25,000 (91%) annual savings for one diaphragm from source A.
$12,000 (63%) annual savings for another diaphragm from source A.
$106,000 (71%) annual savings for the top hat diaphragm from source B.
Comment
This case demonstrates a common reality. When a quality source is located, that source may not be the best for a similar item. The very act of strategic sourcing the first two items produced over two dozen more via networking. This act later lead to source B.
