Customization of products

The assessment of internal attractiveness then looks at these companies from the suppHef s point of view. First of aU, how profitable is business with this customer Profitabihty needs to take into account aU the factors which drive margins for each individual customer, such as technical service at the customer site, cost through customization of products, services and aU pricing components and rebates as well as the synergy effects across the portfoHo - for example, the need for an outlet for any by-products, and so on. In some cases we even recommend pricing botdeneck resources, for example, sophisticated application services, at their opportunity cost... 

Customization of products rmd services, 261-262. See also Mass customization Custom-made softwrtfe, 68 Cutting tools, 457, 459 CWA, see Clean Water Act Cybeiglove, 1125 CyberGold, 273 Cybermediaries, 271 Cybertec, 1738 Cycle time, variation in, 1829 Cyclical fluctuations (in space planning), 2088-2089... 

The nucleation, polymerization and growth, and preparation of monodisperse sols is a focal point of research for many reasons. The nature of our understanding and the ease of formation make the sHica system ideal for studying nucleation and growth of particles in a disperse state. SHica offers many diverse routes to similar products, allowing for customizing of product properties. 

Strong brarxf value Diversified customer base Customization of products Close relationship with supply chain partriers Configure-to-order strategy Just-ln-time inventory High cash-to-cash conversion cycle... 

The SWOT analysis of the supply chain of PC Manufacturing Inc. in Fig. 2.10 shows the strengths and weaknesses as internal factors of the company and the opportunities and threats as external factors influencing the company and involving its environment. The output of the analysis of the different measures outlined in CM preparation can be seen within the SWOT analysis. The computer manufacturer has recognized the need for a differentiated supply chain model because of its diversified customer base and its customization of products. 

The International Organization for Standardization (ISO) is the world s largest developer of standards. ISO s principal activity is the development of technical standards. These are very useful to the industry, regulatory bodies, trade officials, suppliers and customers of products and services. With its Central Secretariat in Geneva, Switzerland, ISO coordinates a network of the national standards institutes of 148 countries (7). Each country is represented by one member that, unlike in the case of the United Nations, need not be a delegation of the national government. 

Because of this branch-specific method of process technologies and modularization of products by the use of silicon IP, the semiconductor industry provides a good pattern for customization of products using templates and unified underlying production processes. Some other industries, like the production of printed circuit boards (PCBs) apply this method as weU (Macleod 2002). 

Measured in MJ/m or Btu/ft, the Wobbe Index has an advantage over the calorific value of a gas (the heating value per unit volume or weight), which varies with the density of the gas. The Wobbe Index Is commonly specified in gas contracts as a guarantee of product quality. A customer usually requires a product whose Wobbe Index lies within a narrow range, since a burner will need adjustment to a different fuel air ratio if the fuel quality varies significantly. A sudden increase in heating value of the feed can cause a flame-out. 

Prices. The price of commodity chemicals is based on cost of production, capital needs for expansion, and the ratio of supply to demand. Profit margins can drop under changing conditions, and unit price tends to be low. Specialty chemical prices vary widely. They are based on the value of a product or system to the customer. Profit margins can usuaHy be maintained, and unit price is higher than for commodity chemicals. 

Research nd Development. Eor commodity chemicals, emphasis is on the improvement of plant operation and reduction of production costs. Eor specialty chemicals, emphasis is on assembling a staff capable of quickly identifying and solving a customer problem under the existing plant conditions and operating procedures of the customer. 

Quality in the Chemical Industry. The chemical iadustry uses quahty as a strategic tool for financial success. Oae measure of quahty is the degree of product variatioa from lot to lot. Ia the chemical iadustry, it is oftea difficult to provide product speciftcatioas comprehensive eaough to easure product performance ia all apphcatioas (21). Therefore, the manufacture of product having a minimum of lot-to-lot variabihty allows the customer to use the product without modifying their formulation or process to accommodate such variation. 

Conformance to one of the first three ISO standards is verified by third-party audit for which the auditee pays the auditor a fee. Continued conformance is assured through periodic reaudit by the third party. The ISO 9000 standard is not a product quahty standard. Conformance to ISO 9001 or 9002 ensures that the customer receives product in conformance to mutually agreed-upon specifications. Other agreed-upon requirements are also met. 

Radioactive tracers account for about 20% of the worldwide market for consumables and reagents for life science research. In 1994 the value was estimated at about 300 million. The principal fuU line manufacturers are Du Pont—NEN Research Products (Boston, Massachusetts) and Amersham International (Amersham, U.K.). These companies share roughly equaHy about 85% of the radiochemicals worldwide market. In addition to an extensive line of catalog products, these suppHers offer custom labeling and custom synthesis services. The rest of the market is shared by producers of a limited range of products or services, such as ICN Biomedicals (Costa Mesa, California) and American Radiolabeled Chemicals (St. Louis, Missouri). 

Soybeans are the most important oilseed in international trade. The United States, Bra2il, and Argentina are the main suppHers to the export markets. In 1994—1995, United States exports of 22.0 x 10 metric tons represented 32% of the domestic production, 16% of the world crop, and 69% of the international trade in soybeans. The European Union, Japan, Mexico, and Taiwan were the largest importers of soybeans (51). Japan, which produces <5% of its soybean needs, is the largest single soybean customer of the United States. Japan imported 3.4 x 10 t in 1994 (51). The United States also exports processed soybean products, eg, oil and meal. For 1990—1993, an average of 47% of the crop was exported as whole beans and processed products. 

Products. The production amounts of various products ia the United States are shown ia Table 7. Sheet, both hot- and cold-roUed, dominates at about 60% of production. Coated material, mostly galvanized, is playiag an increasingly important role as demands for longer life become an issue (Fig. 27) (56). Dominant customers remain the automotive and constmction iadustries. 

Processing. Three general types of diatomite are produced, and a range of grades exists in each. Grade, as used herein, refers not to the quaUty of the product but designates one of the series of products made for specific uses. Producers often supply custom-made materials for speciali2ed apphcations. 

Too little maintenance results in unexpected failures and consequential major losses of production and/or customers (Figure 7-1). This impractical approach is termed reactive strategy and should be avoided on all important machinery. Optimum maintenance strategy balances reasonable costs with maximum possible availability and reliability. The two main maintenance strategies employed by companies today are labelled predictive strategy and preventive strategy. These are part of a balanced approach as shown in Figure 7-2. 

The BP-Amoco Empress plant complex consists of three interconnected facilities located on a one mile square site. It operates 24 hours a day, 365 days a year, employing 70 personnel who work two shifts. If the plant were to shut down for a period of time, suppliers would have to sell their product on the spot market and forego profits. Also, from the customer s perspective, even a plant with reserves would soon run out of products. 

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