It s like finding hidden treasure.

Size: px

Start display at page:

Download "It s like finding hidden treasure."

Maximilian Richards
5 years ago
Views:

1 Give us a few hours in your plant, and we will provide you more Cost Savings $$ opportunities, pound for pound, than you have seen from any other supplier, guaranteed. It s like finding hidden treasure. Mike XXXXX XXXXXXXXXXXXX XXXXXXXXX XXXXXXXXXXXX Mike: If you take a couple of minutes to read this letter, I can assure you that it will be worth your valuable time. We are going to provide you an offer to identify more cost savings opportunities in a single visit than you have seen before, at no cost to you, and I am going to show you how we do it in this letter. We save OEM s a tremendous amount of money Identifying and implementing Cost Savings is the #1 objective of Original Equipment Manufacturers Supply Managers, Material Managers, and Supply Chain Executives. Successfully hitting Cost Savings targets is keeping Supply Managers and Materials Managers up at night more than anything else. If you want to expand your ability to identify substantial Cost Savings opportunities quickly and efficiently, then you know you need to constantly to look for new ideas and concepts. Most Supply Management professionals look to their existing supplier base for the bulk of their savings opportunities, and that makes complete sense except when you have the opportunity to tap into new and fresh concepts and techniques. We do things differently DEE has a fundamental Client-centric business model, which means that we start with your goals and objectives, and then formulate our deployment of resources and solutions. A sure sign of a company that is product-centric and not customer-centric, is if they present a line card or focus on talking about the products they sell. This indicates they are focused on selling you a finite list of products and not focused on your goals. Dee does not approach our business that way. Our philosophy is to provide a value proposition vs. a sales proposition. Everything we do places your goals, needs, and problems above all else, in addition to providing outstanding service. Sales philosophy companies measure success and define their offering based on internal metrics and goals, not the client s. Research indicates that most suppliers you are dealing with have a Sales philosophy vs. a Value Philosophy.

2 A very powerful Offer: Mike, DEE will provide you several expert resources, at no cost to you, to spend several (up to 8; or 24 total man-hours) hours at your plant. We will do a thorough walkthrough (as thorough as you can allow us), identifying a vast number of cost savings opportunities of many types --- acquisition cost savings first and foremost, process cost savings, and asset savings opportunities. We will then put this information together into a detailed summary document, and provide you with an executive report, showing exactly where there are significant Cost Savings opportunities that can be implemented. Why would we provide this service to you for free, arguably worth over $5, value in hard expenses, considering all the people time, travel, and expenses incurred on our part? Not to mention the value of the output, ideas, and opportunity provided to you, which far exceeds the expenses incurred. The honest answer to this question is that we need to demonstrate to you several important things (with no commitment on your part in return) in order to have a chance to create a long-term relationship with you and your company. First, we need to provide you something very valuable, with no strings attached. Our company spending a bunch of expert-level time identifying significant cost savings you can implement is very valuable and very real. Second, we need to demonstrate our expertise and credibility. What we are offering you is potentially the most valuable offer that you could have. This is a zero-commitment, zero-cost chance to have a Customer-centric, Value-philosophy-oriented, Sourcing expert and Trusted Advisor come in and provide you with a long list of cost savings opportunities that you can implement. How is what we do different from other assessments? First of all, we have several very experienced people perform our cost savings walkthrough, not some new people or non-experts. We literally provide you with the very best people our company has to offer. These are highly paid people, and their time is valuable. Because of that, we cannot do this for anyone, or at just any time. Second, we are extremely thorough and extensive in our review. Generally speaking, suppliers and other companies that would come in to do a Cost Savings assessment are going to be very narrow in their scope and vision. Either they are going to be looking strictly for products that they are focused on ( Product Centricity that I mentioned earlier), or they are going to be focused in a particular area or process. When we do our Cost Savings Walkthrough, we go through as many areas and as deep as we can, without a prescribed list of focus or desired areas. We will provide Cost Savings ideas that we observe that may have nothing to do with our business, but you can implement them. Third, we will dig deeper than anyone else to mine out savings opportunities that have been overlooked. Let me tell you are short story to illustrate this point. And in this story, I am revealing an important Secret regarding some of the unique things we do and the lengths that we go to create cost savings. A very short story, but worth your read:

3 During a Cost Savings Walkthrough at an OEM, we identified a switch that we felt quite confident that we could create a cost savings on. When we proposed this savings to the OEM, they indicated that we went to great lengths to approve this specific switch, and we absolutely cannot accept a different switch than this one. We heard what they said, and went to work on it anyway. We came up with the identical switch and proposed what they indicated was a HUGE Cost Savings. They asked us where we had obtained this switch. When we told them, they told us, Sorry, since it is not the same Manufacturer, we cannot look at it. During the process of finding the switch, we did some extensive research, which revealed that this switch was, in fact, the same switch they were purchasing, but we had identified the actual company that was manufacturing it (manufacturing it for the switch manufacturer the OEM was dealing with). Wanting to be able to provide proof of the situation to the OEM, we took the process a step further when we put the switches under a high-power microscope, and identified unique specific tooling marks that show up (not visible to the naked eye) in the exact same spot on critical areas of the product. These microscopic marks acted like DNA testing, proving that these parts came off the exact same production line as the switches they were buying. Their manufacturer was simply buying these from another manufacturer, the source manufacturer. The result was Dee delivering a $221,400 cost savings. Our offer is Guaranteed (unlike pirates buried treasure this is real) You do not hear the word Guarantee very often in this business. How do we guarantee our offer and what exactly is our Guarantee? Mike, we are serious about our ability to drive value for your organization, and we are offering something of very high value at no cost or commitment to you. However, we know that you will have doubts, so it is important for us to provide credibility and believability via a guarantee The problem is that the higher the value of what we are offering in our free Cost Savings Walkthrough, the more skeptical you might become. The only way around this is to put forth a guarantee which takes away any perceived risk that you might have. Our Gutsy Guarantee: If you give us several hours to do our Cost Savings Walkthrough (free to you), and we are able to do a thorough review, and we put together our Cost Savings Opportunities report and executive summary. if you are truly disappointed in our output and information (by your definition of disappointment, not ours), we will gladly donate $ to a charity of your or your company s choice. That s right. If you are not happy with what we put together for you in terms of Cost Savings opportunities identified, we will make a donation of $ to a charity of your choice. I told you that we are serious. This guarantee proves that. Here are a few examples of Cost Savings Dee implemented recently: $307,000 Annual Cost Savings Temperature sensing device for Temperature maintenance equipment: Dee was shown a major quality problem part. Within about 4 weeks, Dee had provided a quality solution to the problem [main issue], but also took $307K out of the cost.

$272,000 Annual Cost Savings Electrical Box for Heating Device: during a Cost Savings Walkthrough visit, Dee identified an electrical box as a potential for cost savings.

Our box was approved by Engineering within about 45 days.

assemblies that were being purchased. Within about 2 ½ weeks, Dee presented 3 options, all cost savings, for our client to review. They approved the highest cost savings option within about 6 weeks.

Dee requested if we could review it. Dee identified and presented an equivalent alternative for $134K Savings.

$105,000 Annual Cost Savings Bulkhead Pipe fitting for industrial equipment: during a Cost Savings Walkthrough Dee observed a bulkhead pipe fitting being used in large quantities.

4 $272,000 Annual Cost Savings Electrical Box for Heating Device: during a Cost Savings Walkthrough visit, Dee identified an electrical box as a potential for cost savings. Skeptically, the Manufacturer Customer provided us a sample and basic specifications. Within about 2 weeks, Dee proposed the exact same box with a $272K cost savings. Our box was approved by Engineering within about 45 days. $129,000 Annual Cost Savings Terminal Block Rail Assemblies for cooling system manufacturer: while doing an Opportunity identification session with a client, Dee inquired about several rail assemblies that were being purchased. Within about 2 ½ weeks, Dee presented 3 options, all cost savings, for our client to review. They approved the highest cost savings option within about 6 weeks. $134,000 Annual Cost Savings Power Supply for a Communications manufacturer: The customer was somewhat dissatisfied with the current manufacturer of their application s power supply. Dee requested if we could review it. Dee identified and presented an equivalent alternative for $134K Savings. Although this one took about 4 months to get through the system (significant red tape), this customer is enjoying a huge savings with better service and support. $105,000 Annual Cost Savings Bulkhead Pipe fitting for industrial equipment: during a Cost Savings Walkthrough Dee observed a bulkhead pipe fitting being used in large quantities. When we inquired about this part, the client indicated they have had many delivery problems with this product. Dee developed a cost savings proposal which saved the Manufacturer customer over $100K within about a week, but also put a solid supply line in place to avoid line downs. $69,000 Annual Cost Savings Dee took an existing electrical jumper part designed in by the Client s Engineering group, that we had been supplying for a short time, and re-sourced that part for a leading Manufacturer of Temp Control Equipment. Their Engineering Department tested and approved the Cost Savings alternative within 4 weeks of Dee submission. Questions you may have at this point: You may be thinking, Dee, if you are so good at identifying and driving cost savings, why have I not heard of you? Fair question, here is the answer: Dee does not mass advertise in industry trade magazines, trying to engage with every OEM that exists via wasteful Goodyear Blimp advertising. First, we are not looking to just sell parts here and there with quick hits. Secondly, we are looking exclusively for long-term relationships. Question: I only work with Manufacturers Direct. Why would I want to work with DEE?

5 Answer: There are 3 reasons why you would want to work with DEE even if you focus only on working with Manufacturers Direct: 1. DEE is a client advocate vs. a supplier advocate, and we will find you cost savings even on those items you are or will be buying direct. 2. It is not a problem if you buy the parts direct from the Manufacturer even if DEE identifies the savings. 3. All the OEM s we work with and bring value to routinely buy direct from Manufacturers. This unique approach may not be for you if If you are looking for another traditional supplier, waving a product line card in your face, who wants to just sell parts to your company, or who asks can I quote on your connectors or switches then we are not someone you want to contact. That is simply not our model. What we are: Dee is a Value-Added Integrator, an expert in Cost Savings, Supplier Reduction, Sourcing, Time Savings, Value-Added, Integrated Supply Management, and sophisticated Distribution Services. We are like a highly Trusted Advisor, who is focused on getting you Cost Savings, Time Savings, Process Savings, and Asset Savings but you never pay us a Fee. Pound for pound, Dee delivers the most Cost Savings and aggressive flexibility to solve problems anywhere. Here is what other OEM Executives Say About DEE: In a day and age of high pressure to reduce overall supply chain costs and expand global sourcing, Dee Electronics has enabled us to accomplish these difficult tasks without expanding our supply base. Dee has consistently, proactively and repeatedly, brought our company significant cost savings proposals without us asking or prompting them, implemented cost savings with minimized effort on our part, and allowed for us to have significant supplier reduction simultaneously. With systems and process solutions geared toward helping their customers improve their flexibility and competitiveness, providing unique solutions to complex challenges, and unparalleled service to the customer, Dee has positioned themselves to be an integral part of our business now and in the future. George Hammett, Supply Manager, Global Telecommunications Manufacturer Dee Electronics continues to exceed expectations on delivery, quality, and pricing while working with us to improve the total supply chain of our products. As part of the supply chain improvement process, Dee offers recommendations on alternate products, alternate manufacturing/assembly methods and alternate packaging/shipping methods to help remove nonvalue added processes within our operations. Jodie Littrup C.P.M., Supply Manager, Global Transport Equipment Manufacturer Dee Electronics is a true partner that has a long proven track record of supporting our production schedules and aggressively pursuing significant cost savings. Dee is proactive in identifying assembly, subassembly, kitting, system and component cost savings. We find Dee to

6 be a highly trusted partner that can be counted on to provide solutions to major obstacles we come across in achieving our goals and objectives. Becky Schutte, Procurement/Materials Manager, Global Climate Control Systems Manufacturer Dee has helped us in two primary areas - Supply Chain and Engineering. Supply Chain by reducing suppliers and saving costs with better quality partners. Engineering by reducing waste associated with identifying component part options and bringing value engineering opportunities. Dave Bell, Supply Manager, Manufacturer of Industrial/Commercial Laundry Equipment Dee Electronics has excelled in supporting our need for a Cost Savings provider and a Supplier Reduction Expert through component, assembly and multiple sourcing options. I am not limited by commodity, volume or data when using Dee. Dee frequently interacts with our Purchasing group, Engineering group, Production team and Quality Assurance group as needed to assure all issues and concerns are addressed. Dee Electronics works hard to assure we re getting the ultimate service in all facets of our business. I highly recommend Dee Electronics to any organization that is in need of a supplier that drives both systems, process, and purchase price cost savings; supplier consolidation expertise and a supplier that will customize their services to your goals and objectives. Rick Buol, Supply Chain, Leading Manufacturer of Power Generation Equipment Ok, I am open to see what Cost Savings Opportunities that Dee can identify for our company. What do I do next? Mike, if you are open to seeing what we can do, give me a call at or sending me an to: tkness@dee-inc.com. I look forward to seeing if DEE is a fit for you. Very Sincerely, Teresa Kness Territory Manager DEE, Inc. We Help Manufacturers Find Solutions and Exceed Their Goals. ISO9001:2008 Certified (cell phone) tkness@dee-inc.com P.S. Mike, time is passing quickly already in The sooner we can engage, the sooner we can bring Cost Savings to the table for you this year.

THE 7 KEYS TO HELP YOU FIND THE Right MARKETING TEAM

DISCOVER THE 7 KEYS TO HELP YOU FIND THE Right MARKETING TEAM by Jimmy Nicholas Founder & CEO of Jimmy Marketing 860.442.9999 www.jimmymarketing.com TABLE OF CONTENTS Welcome Letter from Jimmy Nicholas....................................