THRUST AREAS FOR
The thrust areas for
indigenous technology would include :
indigenous machine tools and equipment for testing, equivalent to
international standards of precision.
The suitability of
these machines in the Indian working environment would be the
available indigenously. However, the quality of tubes in
particular, is not to the satisfaction of the industry. Moreover,
consistency in supplies is also not experienced. Cleanliness of
material needs to be improved to a great extent to enable the
industry to take basic advantage of quality raw material. As
regards forged rings, suppliers meeting sufficient quality
standards need to be encouraged.
of a very high caliber has to be achieved. Maximum precision in
the process, minimum handling damages, and maximum cleanliness
should be observed to get the desired quality of bearings.
Fund at levels
consistent with world ‘standards’
initiatives, disruptive technologies
Better & more
collaboration from government in R&D funding for bearings and
that strengthen Indian manufacturing in the global market
cross-section of bearing customers to discover how supplier
requirements are changing in today's intense competitive landscape.
Here's what we heard, loud and clear:
The constraints of
global competition in 2005 require bearing
consumers to find
critical leverage points outside the plant walls to address cost
challenges and solve day-to-day operational problems, often with
reduced capital, operating and labor expenditures.
distributor, one with a core focus in bearings, is a
strategic partner who
brings new value every time he walks in the door. That's a key
difference for separating the specialist from the generalist, for
separating a value-producing engagement from a time-wasting sales
Bearing consumers who
follow best practice methods with benchmarks leverage their
specialist distribution resources more strategically and
effectively than those who use more traditional vendor management
consumers are tapping into the service expertise,
experience of their specialist distributors at multiple levels to
achieve lowest total cost, stabilize supply, improve processes and
levers with the largest value return are knowledgeable vendor
specialists, who fulfill specific needs in six critical areas:
& Cost Control
"The Personal Touch"
Leading bearing consumers are moving from transactional to strategic
relationships with key suppliers today. These specialists are viewed
as value generators, not cost loads. Traditional core distribution
values (logistics, transaction processing, etc.) remain critical
measures, but are part of a larger set of metrics. Knowledge-based
services provided by bearing specialists – specialized product
knowledge, knowledge of specific plant/production/process
challenges, corporate procedures – raise the level of engagement to
yield a higher return on investment.
Additionally, It has
been researched key supply chain trends in 2005 to identify how the
best manufacturing and process users of bearings address critical
competitive landscape is putting unprecedented demands on
production/process managers and maintenance supervisors. While a
global economic recovery has spurred a rise in production rates,
plants and facilities are almost universally squeezed with fewer
internal resources. Fewer maintenance and purchasing staff are
managing a reduced operating budget and capital spend. Internal
skill sets that traditionally provided a knowledge base for design,
production, operating and maintenance support have been depleted
over the past five years.
managers have had to find alternate and smarter ways to improve
production reliability, labor efficiency, material optimization,
warranty and service management across the asset base, including
bearing usage. To address this challenge, most organizations have
instituted some form of vendor management program as part of a
larger continuous improvement initiative. These initiatives include
supply chain optimization, vendor rationalization, asset lifecycle
management, Six Sigma and lean process improvement efforts.
and competitive forces have driven a few key trends:
is demanding hard-cost savings, yet often
remains resistant to
supply-chain innovations, such as outsourcing inventory
management, that could significantly reduce transaction and
holding costs. Plant managers, maintenance supervisors and
purchasing professionals today are finding creative ways to meet
tougher corporate requirements and operating environments.
The ability to
outsource services and skill sets traditionally managed in-house
has in fact become a new and critical skill set for managers.
These managers are increasingly evaluated on vendors' overall
ability to perform, including emergency service, technical support
and on-time delivery.
Innovators use a
broader set of evaluation tools to measure return from vendor
relationships than they did just a few years ago. Total cost of
ownership, total cost reduction and other metrics have become
innovator vendor benchmarks.
integrating key suppliers into their organizations and leveraging
this specialized knowledge to achieve continuous improvement
goals. Gone are the days when a large pool of vendors was managed
in an adversarial manner to achieve purchasing department goals.
Changing Value of Distribution:
core values of distribution haven't changed, but their relative
importance clearly has as alternate channels, sourcing options and
competitive pressures have mushroomed in recent years. Why?
Bearing purchasers and
end-users are being squeezed from all sides. The rising cost of raw
materials is pushing production costs steadily up, while customers
downstream steadfastly resist attempts to pass those costs along in
higher prices for products that use bearings or production processes
that involve bearing replacement. This research identifies how
certain distribution functions retain their importance today. Other
distribution services, sometimes called "value-added," have become
key tools to help bearing customers meet today's tough requirements.
consumers clearly differentiate in their ability to extract the
service-oriented skill sets of their distributors to compensate
for fewer internal resources. In short, they look beyond
"traditional" distribution functions – sourcing, inventory,
credit, sales/fulfillment, technical support – to obtain more
complex and deeper value-producing capabilities. The relationships
are deeper, better, and more cost-effective than more traditional
The functions and value
a distributor provides is unique in the mix of product and service
capabilities delivered to the market. At the very foundation of
distribution value is its logistical function as a conduit of
products from manufacturer to end user. Traditionally, the
time-place functions of distribution dominate any discussion of
value: Get the right product to the right place at the right time at
the right price.
Distribution has always
been unique in the delivery of a combination of products and
services to provide solutions to customers. But the combination of
services to achieve this basic goal has always had an almost
infinite number of variables, depending on very specific customer
operating environments, conditions, and even cultures. There is a
wide array of pre-sale, sale and post-sale functions and services
that are generally bundled with the sale of product.
indicates core distribution functions continue to be necessary and
high value services, but there is increasing focus on what is often
termed value-added services, as outlined in the graphic below.