Our solution is really making a positive impact for our customers. We have purchased over $100 million of Last Time Buy inventory for our customers while saving them 42% on annual inventory carrying costs.
Last Time Buy Challenges
Each year hundreds of thousands of electronic components, semiconductors and peripheral products transition to obsolescence.
Component Manufacturers have to make a difficult decision between obsoleting a low volume component and supporting their OEM customers.
In fact there’s a lifecycle mismatch between these types of commodities and OEM products. This mismatch may force OEMs to secure multiple years of Last Time Buy inventory to support both their production and long term service commitments.
Purchasing Last Time Buy inventory can cause OEMs to exceed inventory budgets and tie up their working capital.
Beyond the drain on working capital, there are the annual Inventory Carrying Costs that range between 15% to 25%.
Even after OEMs purchase this Last Time Buy inventory they still need to mitigate other risks including properly storing and handling these critical components over multiple years.
OEM and EMS companies can quickly exceed their inventory budgets and spend working capital to secure multiple years of Last Time Buy inventory to support production and service commitments.
Last Time Buy Solutions
Our Last Time Buy Solutions have proven to simplify this complex issue with a seamless process that benefits all parties involved.
EDX is the only supply chain partner that will purchase, own, warehouse and provide global custom fulfillment of Last Time Buy inventory for up to a ten year schedule.
Secure up to 10 years of Inventory – EDX will secure multiple years of Last Time Buy inventory to support both your production and long term service commitments.
Improve Working Capital – EDX has purchased over $100 million of Last Time Buy inventory, preserving our customers working capital.
Reduce Days On-hand Inventory – Days of on-hand inventory will be drastically reduced by virtue of EDX’s purchase and long term storage of Last Time Buy inventory.
Lower Inventory Carrying Costs – EDX has reduced our customers’ annual inventory carrying costs by 42%. Our customers avoid Inventory Carrying Costs including: Capital Cost, Inventory Service Cost, and Inventory Storage Costs.
Calculate Your Carrying Cost Savings
Inventory Carrying Costs range between 15% and 25% annually. These costs include Capital costs, Service costs (insurance, handling, taxes) and Storage costs (warehousing, labor, administration)
Carrying Cost %
Working Capital Preserved:
Purchase order administration
Lead time administration
North America, Europe, APAC (partners)
Physical receiving, inspection, storage
Administration, audits, cycle counts
Secured, climate controlled, ESD warehouses
Vault storage available for critical components.
ISO/AS9120 certified processes
Picking, packing, shipping
Distribution to OEM designee(s)
Invoicing and AR for OEM designees (CM,EMS)
Monthly or Quarterly reports monitoring consumption