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Inventory Management – What’s your strategy?

In today’s on-demand market, proper inventory management is critical for success. Having the materials you need, when you need them, is one of the key factors in determining your performance as a supplier. With a heavy emphasis being placed on On-Time Delivery, being able to react to your customer’s needs quickly and effectively can have a huge impact on future business opportunities. For many companies this means carrying additional inventory to ensure materials are on hand at all times, which can be particularly problematic for small businesses with limited cash flow or storage space.

Carrying costs can represent as much as 20% to 30% of total inventory value. Tangible costs such as storage, handling, and insuring goods are obvious, however intangibles such as opportunity cost due to reduction of cash flow, or the cost of deterioration and obsolescence of goods are often overlooked. With an increasing number of items restricted by shelf life or customer-driven product age limitations, these types of costs are more prevalent than ever.

The solution? A partnership with Whitmor/Wirenetics, a proven leader in effective inventory management.

With a wide range of flexible Vendor Managed Inventory (VMI) options, we offer tailor-made programs that provide comprehensive solutions based on your specific business model. We don’t believe in one-size-fits-all, we focus on what makes sense for you and your customers and build from there. Whether your strategy is “just in time” delivery, on-site Vendor Inventory Management, blanket orders with scheduled ship dates, or a unique combination of several approaches – we’ve got your inventory management needs covered. With millions of dollars in inventory and same day turnaround for most orders, we have the resources to provide you with the materials you need, when you need them, every time. Some of the benefits of our VMI programs are:

Reduced Inventory, Overstocks and Stock Shortages

Not having the right products in stock can be a big problem for you and your customers. Having too much product can be just as damaging to your bottom line – our VMI programs eliminate these issues and allow you to focus on your growth and success.

Smaller Manufacturing Footprint

Floor and shelf space are valuable assets in your production facility, and extra inventory only uses up that space without contributing to immediate income or production needs. Additional storage not only means greater overhead costs, but that space could go toward manufacturing activities for other production floor opportunities.

Increased Sales

Implementing a VMI can increase sales by giving you the ability to deliver your products faster than your competitors. Reduced lead times will boost the quality of customer service and foster brand loyalty. This means more returning customers and increased sales over time.

Less Responsibility

When you reduce the financial and operational burden of managing inventory, it lowers costs, reduces admin work, allowing you to minimize inventory while simultaneously maximizing profits. Spend less time and resources on maintaining purchase records and issuing discrete orders. Let us do the work for you!

Contact your sales representative today to inquire about our VMI programs:

1-800-822-WIRE

or email: sales@us.fdhaero1.wpenginepowered.com
with the subject “VMI”

2019 Fluoropolymer Outlook

Coming out of a turbulent 2018 marked by strong demand coupled with limitations in both compound availability & manufacturer production capacity, the current forecast for 2019 indicates a sluggish recovery that won’t begin to materialize until Q2. Due to growth of fluoropolymer use in both the automotive and food & beverage industry, compound manufacturers continue to reallocate resources resulting in additional strain as market focus continues to evolve. The fluoropolymer market is expected to register a compound annual growth rate of 6% by 2022.

Current data suggests PTFE compound availability will improve in Q2 with ETFE following later in the year. Fluorpolymer wire & cable manufacturers struggling with significant backlogs are likely to take a measured approach to recovery once compound availability improves to avoid a sudden and significant drop in demand. If the current projections for strong demand in 2019 are accurate, this cautious approach could cause additional delays that may further slow recovery well into Q3. Additional price increases on fluoropolymer products are also expected to impact the market in the coming months.

As we enter the 4th straight year of defense budget increases, the current administration projects spending to continue at this high level into the future. As a result, the military services and defense industry are making their plans on the basis of this high funding level. 2019 will likely see a continuation of the strong demand from FY18, putting additional pressure on both manufacturing and distribution to work diligently toward reducing material flow inhibitors.

As your go-to supplier for Mil-Aero wire & cable, Whitmor/Wirenetics is committed to work closely with our supply chain to ensure our partners are well positioned. We continue to employ strategies to reduce lead times and mitigate price increases in addition to providing excellent customer service. For more information on how we can help you reach your goals for 2019, give us a call today.

1-800-822-WIRE

Extended Fluoropolymer Lead Times

It’s going to get worse before it gets better

With factory lead times on fluoropolymer products averaging in excess of 20 weeks, the industry is bracing for severe shortages at a time of record growth.  The combination of unrelenting demand, material availability barriers and limited manufacturer capacity has created the perfect storm for extreme shortages through the rest of 2018 and beyond.

What can you do?

With every passing second, options to mitigate the impending crisis are dwindling.  Companies who fail to act now will face certain production difficulties as inventory diminishes.  With replenishment times reaching up to 6 months for the majority of fluoropolymer products, there is no question that wire & cable shortages will be a pressing concern for Military and Aerospace houses in the coming months.  Those who act now by securing additional material based on MRP forecasts will undoubtedly have the advantage over their competitors.

Call us Now!

One phone call to Whitmor/Wirenetics can provide the solution you need.  Let our team of specialists guide your procurement professionals with the expertise, advice and planning capability that comes from over 50 years of experience in the fluoropolymer wire & cable industry.  Protecting your longevity as our customer is our highest priority, because success is more than just what happens today.

Office: 1-800-822-WIRE
Email: sales@us.fdhaero1.wpenginepowered.com

Don’t Let Lead Time Hurt Your Performance

Make Whitmor/Wirenetics your go-to source for M27500 Cables

With current factory lead times on fluoropolymer cables reaching concerning levels, delivery performance is at risk more than ever. During these critical times, your customers count on you to protect them from line-down and stock-out situations.

Whitmor/Wirenetics is QPL approved to manufacture over 50,000 different constructions of M27500 cable in accordance with NEMA WC27500-2015.

Our standard lead times for M27500 cables are currently less than half of most fluoropolymer cable manufacturers.  In today’s metric-driven market, when it comes to On-Time Delivery, you simply cannot afford to disappoint your customers.  The long-term consequences of late deliveries can be substantial with the vast majority of programs choosing suppliers based on performance.

In addition to our reduced standard lead times, our forgiving 100 ft minimum on custom cables allows you to get what you need without the excess inventory & spend that comes with typical factory minimums.

And with our ultra-fast Premium Expedite™ option, time is always on your side.

Contact your account representative today for faster options on your M27500 and other fluoropolymer cable needs.

1-800-822-WIRE

General Inquiries: sales@us.fdhaero1.wpenginepowered.com

Are you protecting your business?

Material shortages can have a significant negative impact to business performance across the board. Key constraints ranging from reduced raw material availability to sudden & dramatic increases in demand can rapidly create an extremely turbulent business environment. These constraints most often result in steep price increases within in a short period of time, reducing profitability which further limits the financial resources needed to properly address the issue. Companies unable to insulate themselves against the threat of scarcity will face significant challenges with their financial performance, growth and long term competitive advantage.

Recent price increases implemented by multiple manufacturers have done little to reduce demand, particularly within the military and aerospace sector. In addition, other market segments with growing demand that afford higher profitability are enticing manufacturers to redirect resources, further reducing capacity for the manufacture of Mil-Aero products. Additional price increases have been announced and will take effect within the next 30 to 60 days. Material constraint concerns continue to be discussed at the commodity level, and with the current unrelenting demand, the probability of shortages is rapidly increasing.

Whitmor/Wirenetics offers several options for preventative measures that can protect your business from the dangers of supply chain disruption. Our dedicated account specialists are trained to work closely with your procurement professionals to implement a customized solution that protects your longevity in the market place. Let Whitmor/Wirenetics help you remain a viable solution to your customer’s needs. Because when you can’t deliver to your customers, you become the disruption.

Contact us today: 1-800-822-WIRE

sales@us.fdhaero1.wpenginepowered.com

RISING COSTS AND OUR COMMITMENT TO YOU

Over the past few weeks, we have received notification of price increases from several manufacturers across the industry, citing reasons ranging from higher raw material and labor costs to increases in the cost of utilities and environmental compliance. We have also received notification of price increases from our own raw material suppliers affecting the products we manufacture in-house. In today’s price driven market, the impact these increases can have on your bottom line cannot be overstated.

Our Commitment to our Customers

Whitmor/Wirenetics remains sensitive to our customers’ needs with regard to competitive pricing. Our dedicated commodity specialists closely monitor relevant markets to skillfully manage inventory & raw material procurement. Due to the effectiveness of our proactive cost mitigation strategies, we are able to absorb these rising costs and will not be implementing a price increase for our  contract customers at this time.

In addition, we continue to provide the most value for your dollar with best-in-class service for all of our customers across the globe. Since 1959 we have honored our commitment to maintain strong, healthy partnerships with our customers – a tradition that continues to be at the heart of our core values today.

Contact us for more information on our robust risk management options, such as our custom-tailored Vendor Managed Inventory programs or fixed-price Long Term Agreements.

General Inquiries:
sales@us.fdhaero1.wpenginepowered.com

2018 Copper Outlook & Forecast

Current data suggests we may be entering an uncertain time in the wire & cable industry with regard to material availability. In addition to recent reports of possible shortages/allocations of PTFE, there has been growing evidence of copper conductor availability issues. We have seen an increase in suppliers struggling to meet promised delivery dates on current orders and quoting significantly longer than typical lead times on new material.

Recent reports by industry experts have also highlighted potential wage negotiation difficulties at various copper mines, including the world’s largest operation in Escondida Chile, as a high number of contracts are scheduled to come to an end this year. Coupled with increasing production costs due to lower copper content in ores and tighter environmental regulations, the industry is facing a high potential for continued supply disruption throughout 2018. Current consensus estimates are citing a supply/demand deficit of 45,500 tonnes.

Whitmor/Wirenetics is working diligently to minimize disruptions for our customers. We understand the importance of uninterrupted material flow and are taking steps to reduce the impact of any possible shortages. We will continue to monitor and assess the situation to provide valuable information for our customers so that we can lead the industry together as we move forward in 2018.

Please feel free to contact your Account Manager with any questions or for assistance in taking additional preventative measures.

Sincerely,

 

Inquiries
1-800-822-WIRE
sales@us.fdhaero1.wpenginepowered.com

Potential PTFE Shortage?

The Time For Action is Now

With rumors of a potential PTFE shortage circulating and the possible impact to pricing and availability, it is critical to establish additional safeguards within your supply chain. With the introduction of risk-based thinking in Aerospace standard AS9100 Rev D, it is more important than ever to take a proactive approach in minimizing material flow inhibitors.

We’ve Got You Covered

Stocking millions of dollars in PTFE inventory, Whitmor/Wirenetics has the resources to help you implement an immediate risk management strategy with little to no impact to your bottom line. Whether you’re looking for a custom VMI program with inventory maintained at our facility, or simply want to place blanket orders to secure material for future release, we have the programs and expertise to give you peace of mind without creating excess inventory costs. We also offer highly competitive corporate contract options for long-term stability as well as program specific solutions with fixed-price guarantees.

It may be impossible to predict the future – but we can give you the tools to ensure your success.

Contact us today for more information: 1-800-822-WIRE
General Inquiries: sales@us.fdhaero1.wpenginepowered.com

Be On Time, Every Time with Whitmor/Wirenetics

With rising demand in commercial aircraft deliveries by both Boeing and Airbus as well as projected increases in U.S. Defense spending, supply chain disruption is a major concern for 2018. Estimates show a 10% growth in aerospace delivery demand along with a projected military expenditure increase of 5% or more. The ability to deliver to your customers on time is more important than ever, and Whitmor/Wirenetics has the resources and expertise to eliminate costly delays and keep your production lines running at full speed.

From millions of dollars of on-hand inventory to custom tailored VMI programs, Whitmor/Wirenetics offers a full range of options that can keep you ahead of the competition. With an excellent On Time Delivery track record highlighted by multiple awards from today’s top companies such as Raytheon, Boeing and Rockwell Collins, Whitmor/Wirenetics has proven time and time again we have what it takes to deliver what you need, when you need it.

As more and more aerospace and defense contracts are changing from cost-plus to fixed-price incentives, the elimination of costly delays is critical to remaining profitable in today’s market. Contact Whitmor/Wirenetics today for more information on the options available to ensure your continued success in today’s fast-paced environment.

General Inquiries sales@us.fdhaero1.wpenginepowered.com

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