INVENTORY MANAGEMENT

Delta Group Electronics Inc. accommodates both full turnkey and consignment material inventory management needs.   Supported by custom inventory management software, Delta Group Electronics Inc. tracks every component, for every customer. This provides the ability to order in advance when components begin to run low, often avoiding the hassle long lead times can bare.

Meeting the delivery needs of the customer base begins with the effective material procurement cycle.  Delta Group Electronics Inc. incorporates the following practices to assure minimal supply chain disruptions –

• Delta Group Electronics Inc. uses API feeds from a third part source and directly with strategic supply partners. Allowing quick turn, real time pricing and availability instantaneously on most electronic parts.  Vendor managed inventory (VMI) relationships have been established with strategic supplier partners. This includes consignment inventory on site and bonded inventory at supplier’s warehouse. The inventory stored in VMI is based on customer forecast.
• Materials identified as going End-of-Life (EOL) or have become obsolete are immediately communicated to the customer.
• Historical inventory records are analyzed together with customer’s forecast providing the information necessary for the supply base to assure materials are either on order to meet customer requirements or included to the VMI locations.
• Negotiated customer long term agreement purchases established for high-risk materials.

The use of non-franchised/independent distributors (Brokers) has become increasingly necessary, due to component shortage, lead times and/or obsolescence.  This brings the likelihood of counterfeit parts being introduced into the product cycle.  Delta Group Electronics Inc. considers this a very serious and high-risk business activity, in response the following has been incorporated –

• All Delta Group Electronic Inc. employees receive regular awareness training specific to counterfeit mitigation.
• Use of the ICE3000 inspector certification and associated training to the IDEA-STD-1010 inspection standard decreasing the risk of counterfeit component situations.   
• Flow down requirements specific to the AS5553 requiring test reports compliant to AS6081 for all active electronic components.
• In all cases a documented lineage to the OEM is requested, however very rarely available. 
• Use of 3rd party test labs for high-risk situations or as required for specific customer relationships.
• X-ray systems have been added to all facilities procuring active components, most with the capability to perform comparison x-rays on reeled components.  Whitepaper - Glenbrook
• Every independent distributor purchase is directly communicated to the Delta Group Electronics Inc. customer through a Customer Broker Approval process and requires review by the Delta Group Electronics Inc. Corporate Director of Materials prior to release of purchase order.