Smart Manufacturing Transition Program

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To meet the industry need to reduce the protracted time frame, high cost and risk of transitioning printed circuit card assemblies from internal facilities to an outsourcing environment, the SM Tampa Group developed the "Smart Manufacturing Transition Program".

The four phase program provides a time- and cost-effective, low risk and seamless transition from what is typically a high overhead in-house assembly operation to a streamlined, well integrated, low overhead operation.

The goal of the program is to reduce your circuit card assembly cost, eliminate your cost of ownership and allow your company to focus on its core competencies. The program provides for an effective exit from in-house assembly by eliminating the high cost of duplicating fixtures, inventory and resources during a typical transition period. The program also allows for the recovery of the capital expenditures made to support the internal assembly operations.

Phase 1. Evaluation and Analysis.

During the evaluation and analysis phase, SM Tampa personnel work with your personnel to gather all the necessary information needed for the transition implementation.

SMTampa evaluates the following:

	Organization
	Personnel
	Support Groups
	Facility (size, location, certifications)
	MRP-II/ERP System
	Production Scheduling/Forecasting
	Circuit Card Assembly Cost
	Work-in-Process
	Inventory on Hand (number of active part numbers)
	Suppliers
	Quantity of PCB Types (part numbers/structures)
	PCB Complexity (BOMs/package type/size/layers)
	Documentation
	Operating Procedures
	Quality and Environmental Requirements
	Test Requirements (and yields)
	Processes and Process Controls
	Equipment and Fixtures (throughput and technology capability)

Phase 2. Strategic Manufacturing Alliance and Transition Plan.

Development of a Strategic Manufacturing Alliance.
Phase 1 evaluation is used to formulate the critical elements of the Strategic Manufacturing Alliance.

	Pricing Structures
	Pricing Review Criteria
	Product Cost Reductions and How Shared
	Electronic and Personnel Interfaces
	Production Scheduling/Forecasting
	Bi-directional Technological Support

Detailed Transition Implementation Plan.
The transition implementation plan clearly defines tasks, responsibility and time frame for each step in the transition process.

Phase 3. Facility Acquisition.

The acquisition of your assembly operation can be structured in many ways to meet your company's short- and long-term needs.

The following are the most common basic structures:

Acquisition by SM Tampa of assembly operation assets (equipment/fixtures/WIP/inventory/etc.).
Acquisition of facility space.
.

	Acquisition by SM Tampa of assembly operation assets. Sublease of facility space. .
	Acquisition by SM Tampa of assembly operation assets. Strategic relocation of circuit card assembly operations. .
	Lease by SM Tampa of equipment and facility. Consignment or purchase of WIP and inventory.

Phase 4. Transition Implementation.

The implementation phase typically is three to six months depending upon the configuration of the facility. Most circuit card assembly operations are embedded in a division's operating culture and must be carefully reconfigured. During the reconfiguration, ERP, CAD, CAM and e-commercial systems are implemented and/or integrated and fine-tuned. Overhead and operating systems are streamlined. New electronic and personnel interfaces are established. Capacity utilization is maximized. The result is a more nimble operation that can respond to your company's needs.

The new operation is now a well integrated member of your supply chain.

We would like the opportunity to discuss how SM Tampa can transition and transform your internal circuit card assembly operation into a highly competitive valued supply chain partner.

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