Managed Sources

Our Offering

Consolidate Sourcing & Procurement of your Low complexity Direct Material

Procurement

CapGrid’s on-premise team manages end-to-end procurement

Re-Sourcing

CapGrid’s sourcing team to carry out re-sourcing to generate material cost reduction

Warehousing

Warehouse and logistics managed by CapGrid for fulfilment of requirement based on production schedule

Quality

Quality control by CapGrid team at warehouse and supplier end

Manufacturers want to focus on high complexity spend core to the product

Category

Warehouse and logistics managed by CapGrid for fulfilment of requirement based on production schedule

Casting
Forging
Injection Molding
Sheet Metal
Machining
Fabrication
Electronics & Electrical
Proprietary/ Battery / EV

Characteristics

While Low Complexity Spend with more SKUs becomes a procurement nightmare

Category

Warehouse and logistics managed by CapGrid for fulfilment of requirement based on production schedule.

Industrial Fasteners
Turning Parts
Clamps & Hoses
Gaskets
Springs
Rubber Parts
Circlips
Proprietary

Characteristics

How does it work

01

OEM Identifies in-scope part categories

02

CapGrid starts managing ordering, quality & delivery of existing suppliers

Outcome
Week 1

# of Suppliers reduces by 1/100th

03

CapGrid sets up dedicated local warehouse and on-premise team

04

CapGrid raises PO, receives material at its warehouse, fulfils to the plant

Outcome
Week 1

# of Suppliers reduces by 1/100th

05

OEMs shares drawing, CapGrid starts resourcing leveraging AI platform

06

OEM test samples and approves; margin creation and sharing with OEM

Outcome
Week 1

# of Suppliers reduces by 1/100th

The Capgrid MSTD Impact

50%

Inventory Reduction

3-5%

Material Cost Reduction

8-10

Personnel Realigned to Other Categories

90%

Reduction in Gate Entries

90%

Reduction in Invoice Processing