SHIN Group provides value-added supply-chain and consulting services to original equipment manufacturers (OEM), original design manufacturers (ODM) and contract manufacturers (CM / EMS) with the main objective of achieving substantial cost savings. Our services include:

• Sourcing & Procurement
• Cost Reduction Consulting
• Design-Chain & Engineering
• Fulfillment & Distribution
• On-site Employee

Our services are offered as part of our unique cost reduction solutions:

• Sourcing Solution
• Consulting Solution
• Engineering Solution

Customer: World class EMS providing products to various verticals
Business start: January 2012 (within one month from first contact)

Challenges

• Reduce material cost (80% of the spend accounts for mainly local distributors)
• Increase gross margins in a highly competitive market (more than 30 local EMSs)
• Reach new and highly potential customers according to products and verticals expertise
• Improve efficiency and profitability to be able to fund continuous growth in a market with massive consolidations

SHIN Group’s service

• Sourcing and procurement – Based on SHIN Group’s Sourcing Solution for substantial cost savings
• Design-chain and engineering – AVL management, component engineering, technical support
• Fulfillment and distribution – On-time delivery with multiple shipments per month and option for VMI

Result

• More than one hundred of high-value components are sourced with average savings of 13%!
• Continuous savings on items that were already cost reduced – keep driving pricing down.
• Potential customer introductions were made by SHIN Group to help leverage EMS business.
• Within a short time, SHIN Group has become a close partner and top supplier.
• High value for customer: immediate results, low prices and increased gross margins, competitive logistic terms, very high on-time delivery rate, improved competitive position, improved price benchmark power, exposure to new customers.