Today’s electronic manufacturing service is one of the most competitive industries. Conventional purchasing of line-items on a bill-of-materials (BOM) is set to a standard cost, which can only generates 5-10% gross profit for the manufactures.

PPV, known as Purchase Price Variance, is one of the most effective projects for substantial cost savings. The spot market offers plenty of opportunities for manufactures to capture negative PPV, due to regional, quantificational and seasonal price variance.

Vadas Sourcing Specialists, using our information systems, are capable to leverage Vadas’s expertise and technology resources to find the best opportunistic purchasing possibilities. 10-20% cost off contractual pricing keeps our customers ahead of the industry.

PPV Projects Keys to Success
Proactive negative PPV procurement for minimum cost demands each of the following:

1. Acceptable manufacture part numbers Customer should provide all of the accurate manufacture part numbers, as well as the relative manufactures names. Cross-referenced part numbers are welcomed, for, Vadas Sourcing Specialists are willing to try more supply channels.
   
2. Usage details End products, project names and consistent demand feeds are essential to get extra support from world-class franchised distributors.
   
3. Standard costs included It prevents Vadas Sourcing Specialists from wasting time for negotiations with offers of unreachable pricing.