Product category: Power Supply ICs and Controllers
News Release from: Fairchild Semiconductor
Edited by the Electronicstalk Editorial Team on 11 March 2002
Novel inventory programme provides flexibility
Fairchild Semiconductor reckons its new Direct Ship Plus inventory programme provides customers with a level of supply flexibility not currently available in the industry
While streamlining the supply chain for customers, this programme also enables Fairchild to minimise inventory levels and product warehouse needs. Fairchild's Direct Ship Plus programme provides an alternative to the typical inventory warehouse system predominantly used in the industry today.
This article was originally published on Electronicstalk on 11 March 2002 at 8.00am (UK)
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Suppliers traditionally manage just-in-time shipping requirements with vendor-managed inventory (VMI) programmes at third-party logistic service providers (3PLs) or by staging inventory in regional warehouses around the world.
This often requires housing the same product in multiple locations or strategically building excess inventory in order to respond to demand and upside requirements from customers.
Direct Ship Plus maintains inventory at the manufacturing site rather than at multiple regional warehouses.
This enables Fairchild's customers to place a 'pull order' from any location worldwide and be assured the product is available and will arrive in three days or less.
"The Direct Ship Plus programme offers our customers the supply flexibility they need in today's market.
They have the ability to place a 'pull order' for upside demand or to redirect product demand from one manufacturing location to another if they should need to change manufacturing plant locations", said Steve Dixon, Fairchild's vice president of Supply Chain Management.
"Fairchild's programme makes the entire inventory available in one location so it's easy for us to respond to the demands from our customers".
Fairchild is currently using the Direct Ship Plus programme from its end manufacturing locations in Penang, Malaysia; Cebu, the Philippines; and Bucheon, South Korea.
Several major OEMs and contract manufacturers have implemented Direct Ship Plus and Fairchild plans to expand the programme among its top-tier customers.
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