| Managing
an optimized inventory is one of the
crucial operations in the electronic
manufacturing industry. The increased
volatility in market leaderships has
led Sienna to provide value added services
to our partners in the form of inventory
management for OEMs. We understand the
necessity for greater agility in responding
to the changing market demands and have
adopted information technology systems
to support us in this endeavor. To enable
a better means of communication and
transfer of information between our
suppliers and partners, Sienna has created
an online information system that can
store and allow access of necessary
data on a periodic basis thus cutting
heavily on inventory costs. We have
warehouses specifically modeled for
our inventory needs and the entire inventory
is managed by a team of efficient professionals.
Our facilities enable us to store components
ranging from sub assemblies to fully
integrated products. We have strong
logistic partners and channel members
to drop ship products as per our customer
requirements.
Manufacture by forecast is an important
aspect in effective inventory management.
At Sienna, we constantly interact with
our OEM partners to understand their
production needs and depending on the
volume of the forecast, we provide production
and warehousing facilities even before
the real demand is realized. We initially
monitor the product demand and evaluate
the optimal lot size. The optimal manufacturing
lot size decides the cost effectiveness
of the production process. The frequency
and the volume of the production runs
are then evaluated to enable just-in-time
delivery to our partners. We have been
able to integrate a range of production
and control methods to implement this
and Kanban philosophies across all our
units.
We have synchronized our inventory management
system with our supply chain operations
to ensure better inventory maintenance,
inventory record accuracy and inventory
access speed. In close association with
our partners, we have repeatedly succeeded
in reducing purchase order transaction
costs and in fulfilling inventory needs.
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