Industrial Sensor Manufacturer

Written By Nate Pylant

Client Type

IoT Product

Challenge

An industrial IoT sensor manufacturer supplying environmental and equipment-monitoring devices was experiencing rising unit costs and inconsistent supplier performance. Spend was fragmented across multiple electronics vendors, aluminum workers, and contract manufacturers, thus, limiting visibility into true cost drivers. Despite steady demand, margins were tightening due to pricing variance and over-reliance on a small number of overseas suppliers.

Solution

Intelliment consolidated and normalized spend across PCBs, electronic components, extruded / machined aluminum, and final assembly. A targeted opportunity assessment identified inflated COGS, inconsistent lead times, and supplier concentration risks. Intelliment then executed competitive RFQs through its proprietary global supplier network. Suppliers were qualified through a formal FAI process, prices were negotiated, and SC deliverables were agreed upon (lead time, prototyping process / timeline, and inspection documentation).

Results

  • 10–33% reduction in direct material costs across PCBAs and aluminum components

  • Improved supplier performance, lead times, and pricing

  • Reduced single-source risk through FAI qualified secondary suppliers

  • Implemented savings realized in the COGS for an entire product family

  • Prototyping timeline decreased by ~50%

Nate Pylant
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