Manufacturing · 2024

Bearing supply consolidated across four manufacturing sites

Four sites bought bearings independently from eleven suppliers. Reference duplication was widespread, stock was uneven between sites, and unplanned purchases at premium prices were routine.

Client: European components manufacturer
Region: Europe
Sector: Manufacturing
Service: Product Sourcing

Fewer active references: 31%Fewer active references
Critical spares availability: 96%Critical spares availability
Spend reduction: 18%Spend reduction

Challenge

Four sites bought bearings independently from eleven suppliers. Reference duplication was widespread, stock was uneven between sites, and unplanned purchases at premium prices were routine.

Solution

We rationalised the reference list across the sites, identified where multiple designations covered the same duty, and consolidated supply through a single authorised channel with an agreed stock profile for critical lines.

Result

Active references reduced by 31%, critical spares availability improved to 96%, and total bearing spend fell by 18% year on year without any change in specification.

Understanding the real variant count

The reference list looked larger than the actual technical requirement. Cross-referencing showed several designations covering identical duty, an artefact of independent purchasing rather than engineering need.

Agreeing a stock profile

Consolidation only works if availability improves. Critical lines were identified by consequence of failure rather than by usage volume, and stock was held against those specifically.

Protecting sourcing integrity

Bearings are a category where counterfeit supply is a genuine risk. All consolidated supply moved through authorised distribution with traceable documentation.

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Next step

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