1 / 13

ESS Business Interlocks 2H08’ PCA ABC Cost Update Foxconn

ESS Business Interlocks 2H08’ PCA ABC Cost Update Foxconn. Thomas Chiang Oct5 th 2008. HP Restricted. Executive Summary. September Achievements : No cost reductions versus August ODM : Achieved saving $4.08M , 45% for $9.12M of total saving opportunity

taima
Download Presentation

ESS Business Interlocks 2H08’ PCA ABC Cost Update Foxconn

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. ESS Business Interlocks2H08’ PCA ABC Cost UpdateFoxconn Thomas Chiang Oct5th 2008 HP Restricted

  2. Executive Summary • September Achievements : No cost reductions versus August • ODM : Achieved saving $4.08M , 45% for $9.12M of total saving opportunity • CM : Achieved savings $0.76M, 22% for $3.M of total saving opportunity • October Progress • Foxconn has finished supplier QBR meeting leading to cost reduction. • HP received ABC cost reduction updated (around $500k to $1M) • Real saving for QBR will be communicated during Nov interlock meeting • HP has finalized LOA worth $772k • Foxconn has updated cut-in date (ETA 10/24) • 1HFY09 ABC wave: plan to submit ODM quotes to CDP on 10/27 • Foxconn responsiveness not as fast as usual. Resource issue?  

  3. ABC Target to In Quote & Future Saving

  4. September ABC Achieved for ODM Sustaining • Achieved savings $4.07M (45%) – bellow goal • In quote: $4.07M (45%) • Future saving: $0.0M • WIP $3.3M (36%) [7/7/2008] – HP Restricted

  5. Foxconn ODM on Top 20 Saving Components LOA parts

  6. September 08’ABC Achieved for CM Sustaining • Achieved savings $0.76M (22%) – below goal • In quote: $0.76M (22%) • Future saving: $0.0M • WIP $2.0M (57%) [7/7/2008] – HP Restricted

  7. Foxconn CM on Top 20 saving components LOA parts

  8. Cost Cut-in schedule Today  • No future saving committed since last Interlock negotiations. No change versus last month. • Opportunity : • Foxconn has driven cost reduction during supplier QBR • ABC progress will be reflected in Novvember • Foxconn will confirm new price cut-in date for LOA approved parts [7/7/2008] – HP Restricted

  9. September 08’ABC Achieved for NPI program BL 495 G5 will be included sustaining program for ABC 1HFY09’ • Saving Opportunity: $1.8M from NPI programs (BL495 G5 Nitrogen) • Achieved savings (Cost Avoidance): $0.0 M from NPI • WIP $1.6M for NPI programs. • Open Opportunity $0.2M (5%) • Not obtainable $0.0 M (0%)

  10. Back up slides

  11. Achieved saving by product on sustaining programs [7/7/2008] – HP Restricted

  12. Analysis of Achieved Savings Cost Saving (sustaining products): $4.8M 94% Foxconn Negotiated 5% HP pass down price [7/7/2008] – HP Restricted

  13. Analysis of Saving for Not Obtainable Not Obtainable on sustaining product $0.8M Total $0.8M are not obtainable. 45% Foxconn cost closed 32% Data source inconsistencies 16% Freight cost 6% Assurance of Supply 0.2% No more demand

More Related