Machinery Manufacturer Supply Network Resilience Enhancement
A European machinery manufacturer sourcing from a geographically dispersed network faced risks due to supplier capacity constraints and weak visibility into production and shipment statuses.
Challenge
Suppliers’ limited communication on capacity issues led to frequent production bottlenecks, emergency sourcing expenses, and margin erosion. These issues were particularly evident in suppliers based in Turkey and India
ET2C Solution
ET2C teams based in all sourcing markets introduced a coordinated and integrated supplier capacity and risk monitoring system, combined with scheduled risk review workshops engaging suppliers to align visibility and contingency plans.
Outcomes Delivered
- Achieved real-time visibility into supplier capacity, enabling proactive order allocation and backup sourcing.
- Reduced production downtime by 20%, preserving revenue and margins.
- Strengthened supplier relationships through better collaboration and shared risk management.
- Created a resilient supply network able to adapt quickly to disruptions.