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FASTENER3 OBJECTIVES

FASTENER3 OBJECTIVES. Identify the “best” supplier for each division/site Providing the right (per print or QA standards) parts, at the required level of service at the lowest cost Consolidate supply base Determine the true savings available in the marketplace

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FASTENER3 OBJECTIVES

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  1. FASTENER3 OBJECTIVES • Identify the “best” supplier for each division/site • Providing the right (per print or QA standards) parts, • at the required level of service • at the lowest cost • Consolidate supply base • Determine the true savings available in the marketplace • Compare cost positions of distributors • Nationals vs nationals • Regionals vs nationals

  2. FASTENER3 OVERVIEW COMMITTED TO NON-FASTENAL/NON-ILS FMOL BID FASTENER SPEND IN MIN SENT IN LIST? P/N's IN LIST $ IN LIST 1 APPLIANCE CONTROL (Mallory) $413,008 YES 13 $325,753 2 ASTEC APS (Astec America de Mexico) $2,500,000 $2,911,794 YES 365 $1,329,608 3 ASTEC ENI $972,455 0 4 BROOKS $242,675 YES 65 $115,808 5 BUEHLER $96,166 YES 423 $55,228 6 CHROMALOX $300,000 $717,713 YES 145 $336,882 7 CLOSETMAID $1,000,489 8 COPELAND $1,800,000 $10,189,418 YES 32 $3,529,235 9 EGS ELECTRICAL GROUP $3,405,199 10 EMERSON POWER TRANSMISSION $100,000 $4,142,192 $373,000 11 EMERSON TOOL $1,500,000 $1,406,950 YES 352 $1,770,962 12 IN-SINK-ERATOR $2,551,000 $2,639,501 13 LSNA Kato $225,000 YES 554 $393,551 14 LSNA Lexington $350,000 YES 72 $362,916 15 MICRO MOTION $360,000 $103,885 YES 299 $198,370 16 PROCESS ANALYTIC DIVISION $48,000 $126,636 17 RIDGE $693,000 $382,110 YES 31 $237,319 18 ROSEMOUNT FLOW $646,000 $316,739 YES 226 $328,051 19 ROSEMOUNT MEASUREMENT $701,267 YES 125 $1,098,883 20 THERM-O-DISC $135,000 $237,157 YES 32 $168,386 21 U.S. ELECTRICAL MOTORS $2,595,367 22 WESTINGHOUSE PROCESS CONTROL, INC. $43,000 $49,685 YES 67 $52,188 23 WHITE-RODGERS $2,000,000 $3,484,477 YES 132 $854,587 24 XOMOX $659,000 $169,942 YES 647 $534,865 TOTAL $13,910,000 $36,304,825 0 3,580 $12,065,592

  3. FASTENER BID DIMENSIONS SERVICE LEVELS MANUFACTURERS vs DISTRIBUTORS MANY DIVISIONS/SITES TYPES OF PARTS

  4. FASTENER3 DIMENSIONS • Service Levels • Division places order & shipment received at dock by division • Supplier stocks bins on regular basis • Supplier manages KanBan from on-site facility • Types of Parts • Standard Configurations (nuts, screws, washers, etc.) • Material • Specialty

  5. FASTENERS3 DIMENSIONS • Manufacturers vs Distributors • What do we pay for service provided by distributors? • Many Divisions/Sites • Do we breakdown by site initially? • Would we gain any leverage?

  6. EXPECTATIONS • Keep to timeline • Data gathering will be the hardest part • Use Content Express for Divisions in MIN • Drawings are already being collected electronically • Lotting will be critical due to various service requirements • Fully define supplier criteria • Talk to your incumbents to explain the situation • Incumbent participation is very important • Two prior events averaged greater than 10%

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