Operations

Challenges

Globalization leads to complex operations in particular for the supply chain structure. Striving perfection in operations helps to secure the pole position for the race. NxtAsia’s historical expertise background is supply chain and operations. From the first day of our company we support our clients in creating highly efficient operations.

NxtAsia focuses on following operational challenges:

How to establish an efficient supply chain cross-border and locally.

How to mitigate risks of missing parts and how to shorten the lead time.

How to increase production efficiency by maintaining the quality level.

How to decrease work in process, inventory and scrap rate.

How to implement lean manufacturing concepts in premature markets.

How to calculate outsourcing scenarios.

How to secure the quality and promised lead times of suppliers.

How to monitor sourcing processes and material-cost spending.

How to understand the true meaning of localization.

How to calculate and implement an optimized warehouse level.

How to providea high service level within a limited budget.

How to control and define R&D activities in emerging markets.

How to adjust standardization and customization for different markets.

How to foster market relevant innovation.

Etc.



Solutions

NxtAsia started its business with services in the field of operations management for medium-sized Western manufacturers in Asia. Over the years we have developed our client portfolio as well as our services. However, our original DNA remained and many of our projects are related to the difficulties of running successfully operations in emerging markets. The combination of premature markets and operations management often requires a “hands-on” approach. The working environment is very dynamic and often still in the development stage.

NxtAsia’s working methods can be described as solution driven, practical and budget oriented. We optimize operations in the following work disciplines:

Supply Chain Management – operations management covers many disciplines and one of the core sub-disciplines is supply chain. Supply chain is a massive expression which was already quite a challenge in a less digitalized, less dynamic, less globalized and simply, a less disruptive world. Today, markets are highly volatile, processes are interdependent, economies are unpredictable and consumers are connected. Before you can ban risks you have to identify them. NxtAsia’s approach is to visualize single segments of the supply chain for respective processes, for defined products or customers of the given industry. Once that step is finalized we will work on supply chain efficiency, risk management, asset utilization and create a truly integrated supply chain.

Lean & Manufacturin g – the ultimate goal is to balance risks and chances and to achieve savings. Our optimization approach is to identify and analyze potential cost drivers and eventually calculate the impact of various cost reduction scenarios to the overall organization, its business model and its strategy. One of the results is a high-level implementation plan to deliver a step change on the manufacturing costs. As for all our services, NxtAsia will steer the implementation process whenever our guidance is needed.

Procurement – historically the optimization of procurement costs has been a main service for NxtAsia. Still, this service is highly demanded and we dedicate a separate section to it. The procurement center has many interfaces to other departments and it is the place where most of the expenses are generated. NxtAsia delivers qualitative and quantitative improvements. On the qualitative side, NxtAsia optimizes organization and processes to secure efficient procurement activities. On the quantitative side, our job is to create the platform which allows best performances with regards to monetary savings.

Installation & Machine Service – selling high-quality machines and installations is already a challenge especially as our clients are not selling purely a stand-alone product but very often integrated systems and value added services. That implies installation, testing, repair services, coaching & training as well as a fast response time whenever support is needed. NxtAsia operates a service unit for companies demanding a helping hand during peaks or for clients who want to outsource this part of the business in Asia. We run an open book policy and have long-term partnerships with our partners. NxtAsia can scale your business by keeping your internal resources limited and flexible.

Research & Development – as long you do not have the global brand power of best known consumer products – and even if they do – you have to consider local taste and requirements. However, many companies have a centralized product development department (often marketing creation as well) which is located in their headquarters. Besides the question of available resources, there is still a major concern to build-up a local R&D team in the Asian subsidiaries. NxtAsia works on the challenge of ensuring the security of intellectual property and investing in local R&D competence without supporting the competition.

Notes:

1.
Technic process? WIP is a SCM term…product in production process, not finalized yet
2.
ABC items? Optimized stock level based on demand, lead time and safety buffer
3.
Delete? yes
4.
Developed new services and therefore more clients? Somehow yes but also separately…we grew client base because of the trust in our work and in addition because of new services
5.
To separate the supply chain to small segments according to different industries or customers, and then to visualize each segment? yes
6.
Delete? did
7.
Delete? did
8.
Customize service for each client, or simple/clear business mode? As above mentioned
9.
Incomplete sentence? Nope…there is still a major concern (all what is needed for a sentence is there)
10.
? building R&D abroad has the risk of leaking information…having a r&d in china increases the risk to lose information to local competition