Material Supermarket for Just-In-Time feeding in the Auto manufacturing set-up
<p>Making and shipping parts to meet the OEM’s production schedules is a challenge both OEM’s and part supplier face. In India, unlike the Western countries it is the part supplier that controls the transportation aspect. And OEM’s want a certain part at a certain time, during certain hours at the dock they specify. It then becomes imperative for the part supplier to locate their manufacturing plants as close as possible to the OEM plants they serve. Also a part supplier does not just make one part- For example a supplier manufacturing plastic parts would supply parts like bumpers (Front & rear), Door Trim, Door handle, Cluster meter, Main Dashboard etc.</p>
<p>Along with the timing they care a lot about location of the supplier too. No OEM’s would want a part sourced from low cost manufacturing destination like China who will overload their containers with parts, just to squeeze as much as possible. Also the OEMs design their supplier preference algorithms in such a way that it always prefers the supplier in the proximity. After all, a failed or delayed delivery is too much of a risk for Assembly line operations.</p>
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