1. Case History : UK Machine Tool Company
Packaged Solutions Strategy

2. Case History : UK Machine Tool Company
Customer Issues Proposed Solution Results (average build of 10 machines per year)
 Increasing costs of electrical  Routeco examine purchasing history, convert  Previously 32 suppliers - now 3
materials components to latest technology/lowest cost
 Previously 1000+ electrical orders per year - now
 Engineering department heavily  Create web based catalogue of all electrical 30
involved in supply chain issues requirements by customers part number
 Previously 2000+ deliveries per year - now 30
 Time taken to raise quotations/  Customer creates design spread sheet and
 Previously 2000+ invoices per year - now 30
orders loads to Routeco website for live priced
quotation  Previously 10 to 15% invoice queries - now 0
 Number of orders raised
 Customer converts quote/quotes to orders as  Previously 2 man week to obtain quotations and
 Number of invoices and invoice place orders - now 10 minutes
single part numbers
queries
 Routeco local branch pick and pack to  Previously 2 man days to kit machine BOMs from
 Number of deliveries store - now 0 (delivered straight to shop floor)
customer requirements
 Time taken to kit machine builds  Previous cost of electrical BOM ca. £19,000 per
 Deliver 1 line item kit/kits to shop floor on
from stores machine - now £16,000 (- 15%)
required dates
 Maintaining large number of  Net profitability improvement per year £30,000
 Routeco send 3 invoices
accounts
Routeco Limited, Davy Avenue, Knowlhill, Milton Keynes MK5 8HJ Tel: 01908 666777 www.routeco.com