Overview
Gas sampling lines are essential in delivering respiratory care. In partnership with one of our customers, we discovered an opportunity to use our engineering and supply chain expertise to support them in developing full gas sampling lines. The sample lines were fitted with our customized Nafion™ Tubing, the customer’s chosen specialty filter, tubing and packaging. From design to delivery, solid support and communication were maintained, and production of sampling lines grew sustainably. Value was delivered in the following ways.
- All elements of the assembly were brought to a single source
- Purchasing and production costs were cut by approximately 25%
- Customer’s supplier audits were cut by more than 50%
- Lead time shrunk to three days
- Risks were mitigated throughout sourcing, production, and delivery
The customer gained access to quality systems, turnkey operations, and our expert engineers, while reducing sampling line lead times, cutting operational costs, minimizing risks, freeing up resources, and meeting demand through at-market growth. We increased our understanding of what the customer valued and supported them in getting their vital product to their end-users.
Background Information
When we first engaged with our customer, we were focused on using our moisture control expertise to ensure accurate readings in their life-saving device. The OEM was operating in the inhaled gas therapy market and would go on to launch a device that shifted the standard of neonatal respiratory care. As our relationship grew, we knew we could use our capabilities to provide more value to this customer by delivering a full assembly for use with their groundbreaking technology.
Customer Objective
Streamline development of custom gas sampling lines to efficiently deliver their privately-labeled solution to healthcare facilities, while reducing operational burden.
Purpose
Ensure uninterrupted delivery of gas therapies and minimize risk across supply chain.
Customer Requirements
Utilize specified components, maintain high regulatory compliance (ISO 13485 and ISO 9001) and quality standards, cut lead times, minimize supplier maintenance, drive cost savings.
Implementation Timeframe
We estimated that project inception to full operation would take approximately six months*, however we smoothly accelerated the process and were up and running in four months. There was clear communication of needs and evolving objectives throughout the entire implementation across engineering and supply chain teams.
*Implementation time will likely vary depending on product complexity, desired quantity, and other specifications.
Solution
Perma Pure Assembled Gas Sampling Line with Client Customization
Key Metrics
Overall Customer Experience
To provide optimal gas sampling lines to our customer, our team gained a complete understanding of the goals and requirements for the device. We discussed the components that were vital, areas where there was flexibility to alternatives, chosen specs, and compliance expectations. Any prior pain points or areas where risk mitigation was critical, were addressed early. Our initial focus revolved around grasping where our customer was at the time and where they aimed to be through the partnership.
With this understanding, we worked with their team on the development process. A business development manager, an engineer, a sourcing specialist, and a supply chain manager each took ownership of an element of the process and worked cross-functionally to ensure all aspects of the product were carefully considered. We ensured solid execution through the sourcing of components, savings in both cost and time to market, and collaboration between teams.
By working cohesively at every step, an optimal assembly was prepared, and a seamless process was established in approximately four months. This process greatly reduced our OEM’s purchasing, operations, and supply chain requirements for the sampling line, ultimately reducing our customer’s cost basis by an estimated 25%. To mitigate risks, inspection and quality control steps were integrated during inbound inspection, in process assembly, and final evaluations.
Overtime, as production needs evolved, operations were scaled for our OEM’s sampling lines and volumes grew by an 8% CAGR. Scaling was done with consistent alignment between OEM and Perma Pure teams to keep lead times at the target three days, while meeting end-user demand. Production remained at or above market growth. Increased customization was applied across the subassembly, labelling, and packaging.
Through this process, we streamlined their supply chain. The implemented purchasing and production value stream scaled down costs from four to one. Any risks associated with regulatory compliance, managing deliveries, and maintaining multiple supplier relationships were diminished.
Our customer refined their operational requirements for gas sampling lines, freeing up time to focus on other elements of their products and freeing up resources to use across other business opportunities. Our customer found their solution in us, removing the need to look beyond their current suppliers for this capability.
Today, years after implementation, we continue to look for ways to drive greater improvements across our customer’s gas sampling line production and facilitate growth that mirrors market development. Jointly, we discuss opportunities amongst our teams to ensure optimal buy-in and careful consideration. As our customer continues to innovate and grow, we are available and ready to support them.
To learn more about partnering with Perma Pure, please visit our Working Together page. To contact us, please click on the Talk to Us link below or send a message to info@permapure.com.