ESI is a leading supplier of laser-based manufacturing solutions for the microtechnology industry. Their systems are capable of producing engineering and testing of micron to submicron features in a number of industries including semiconductors, LEDs, multi-layer ceramic capacitors (MLCCs), printed circuit boards (PCBs), flex circuits and other high-value components.
Service Provided by Sparton:
Sparton’s Plaistow facility has provided ESI with fast and flexible deliveries for over 10 years. The location currently manufactures three different circuit trimming lines including the M-350, LT2200 and LT 3100. The full turnkey system consists of over 1500 components including complex fabricated parts, making it one of the most complicated assemblies manufactured in the Plaistow facility.
The scope of work includes the following:
- Printed circuit board assemblies (Provided by Sparton’s Brooksville, FL location)
- All varieties of cables, including custom, off-the-shelf and mil-spec
- Electro-mechanical sub-assemblies
- Pneumatic panels
- HMI controls
- Flexible and effective supply chain
- Product function power up testing
- Final packaging for global transportation
ESI asked Sparton to deliver a significant cost reduction in order to meet an internal initiative. An interactive process involving personnel from both ESI and Sparton was developed. This included weekly meetings that focused on methods for reducing the product cost and streamlining the production process.
The following were identified as key areas to explore:
- Pinpoint components that are candidates for price reductions
- Evaluate the current design to eliminate unnecessary parts
- Examine freight charges to determine opportunities for savings
The intercompany team reviewed a total of two dozen parts and was able to achieve a cost savings on a high-percentage of them. The design evaluation resulted in the elimination of several cables to further reduce both product and production costs. Finally, the team was able cut shipping and handling charges to lessen the overall expense.