Zetwerk Managed Inventory™ (ZMI) is an enhanced vendor-managed inventory service that helps manufacturers overcome the pain of long lead times. ZMI customers enjoy the lead times of a domestic supplier alongside the cost savings offered by strategic global sourcing.
ZMI is an invaluable manufacturing service that removes the operational risks associated with just-in-time (JIT) manufacturing. As a ZMI customer, you don’t need to worry about supply chain disruptions or shortages caused by surges in demand.
More Than Just Management
ZMI customers enjoy complete visibility into their supply chains and benefit from Zetwerk’s unique ability to quickly adapt to any market changes that arise. In other words, ZMI supplies the certainty that your inventory will be able to meet any changes in supply or demand and avoid disruptions, guaranteeing that what you need will never be more than a few days away from your door.
What is Zetwerk Managed Inventory™?
When you become a ZMI customer, Zetwerk assumes responsibility for managing your stock levels. Zetwerk monitors your inventory and usage so that we can proactively respond to changes and ensure you always have components on hand when you need them.
ZMI customers can also benefit from an entire external managed supply chain. This means they can rely on a single supplier with complete knowledge of their supply chain and consistently best-in-class lead times, and not have to juggle multiple vendors.
What Makes ZMI Different?
Many manufacturers offer vendor-managed inventory services. However, a common shortfall of these services is a lack of visibility into the global supply market combined with the inability to quickly pivot to new manufacturing solutions. ZMI stands out because Zetwerk’s scale and proprietary software gives us the ability to more accurately monitor market variables, supply issues, shipping times and other externalities that can have an impact on lead time and production, as well as the ability to access reserve manufacturing capacity to ensure the supply chain is not disrupted.
How Does ZMI Work?
- When a customer signs up for ZMI, we work with them to create near- and long-term forecasts of components needed.
- We set up an agreement with the customer to ensure sufficient stock is always on hand.
- Zetwerk monitors inventory levels and consumption rates in the customer’s local Zetwerk-managed warehouse, as well as variables on the supply side like changing lead times, shipping times, and raw material availability.
- Taking all these variables into account, Zetwerk manages the level of stock in the customer’s warehouse and automatically replenishes it to avoid any disruption to their manufacturing processes.
A ZMI customer in the US is experiencing increased demand for their products, and as a result, are drawing down from their Zetwerk Managed Inventory™ of components more quickly than forecast. At the same time, supply chain issues are leading to increased lead times on production.
- Zetwerk immediately increases the size of the next component shipment to the US warehouse to compensate for the increased demand.
- At the same time, Zetwerk steps up component manufacturing to compensate for the increased lead times and will continue to tap into further manufacturing capacity until the supply chain issue is resolved.
- As a result of these measures, the end customer experiences no disruption in their manufacturing process.
Should You Consider ZMI?
ZMI customers benefit from a wide variety of additional manufacturing services that help create new efficiencies in their manufacturing operations and provide security and peace of mind. You may want to consider ZMI if your business requires any of the following:
- Enhanced quality control. All Zetwerk-supplied components are inspected post-production and pre-shipping. If components are being shipped to a warehouse in the ZMI network, they are inspected again by Zetwerk’s own quality control team after arrival to ensure nothing was damaged during shipment.
- Last-minute adaptability. Because your components remain in the ZMI network right up until the moment they’re in your facility, Zetwerk can respond quickly to rework requests for changes in secondary processes or finishing — using local resources rather than waiting for a new shipment from overseas factories.
- Domestic warehousing. The ZMI warehousing network drastically reduces lead times by ensuring your next shipment of components is never more than five days away. In some cases, for high-volume customers, we will place a new warehouse in their area to reduce lead times even further.
- Supply chain security. Zetwerk is constantly monitoring all possible supply and demand variables to ensure that ZMI customers have the right parts at the right time. Our fully transparent process means that ZMI customers have access to all the same information, providing the peace of mind that comes with knowing your supply chain will not be disrupted.
Contact a Zetwerk Manufacturing Services Expert
Zetwerk is your one-stop solution for complete end-to-end contract manufacturing and distribution. We provide:
- Unlimited manufacturing capacity that decreases risk and improves your ability to respond to demand fluctuations.
- Global raw material sourcing to protect cost and supplier resiliency.
- Secondary processing, including anodizing, powder coating, and CNC machining.
- Assembly, packaging, and distribution.
- Quality control – AS 9100D & ISO 9001:2015 certified.
- Vendor-managed inventory to optimize material availability.
- Supply chain management for efficient raw material conversion.
- Project management for a hands-free experience, with weekly updates for project and timing accountability.
Contact a Zetwerk manufacturing services expert today to discuss whether ZMI is the right choice for your business.