Outsourcing/offshoring - Coventry, England, United Kingdom
EuroSourceLine (UK) Limited began the buying of non-production items (NPI) - often referred to as maintenance, repair and operations (MRO) - in Germany back in 1994 and has regularly achieved cost reductions of 30% for its clients without affecting the quality of their products, processes or customer service.By entering into a partnership with EuroSourceLine (UK) Limited, organisations have benefited from guaranteed cost savings, improved process controls, increased service levels together with numerous soft cost advantages.Outsourcing non-production items is certainly not a new idea, it is certainly long implanted in the US. However, the problem is often lack of transparency. MRO outsourcing companies take over the buying departments and change all the suppliers. These companies operate ‘closed book' systems, never disclosing the prices they pay suppliers.Profits come from charging a margin on everything purchased, and this margin tends to creep up the longer the company stays in place.Perhaps more alarmingly is that these companies have a tendency to own the suppliers from which they buy. By cutting a swathe through their clients' suppliers, relationships are lost with organisations that often have deep and valuable knowledge.On the other hand, ‘open book' suppliers, such as EuroSourceLine (UK) Limited, disclose exactly how much the client is paying the supplier for every purchased item.