Supply Chain Management

Schivo’s efficient supply chain management will help you build competitive advantage by removing complexity and increasing vertical integration.

Drive Competitive Advantage Through Supply Chain Management 

One of the key methods of driving competitive advantage lies in the leveraging of efficient supply chain management where there is potential for significant cost savings to be made. This is particularly true for companies operating in the medical device industry. An efficient, vertically integrated supply chain can result in transformative improvements in profit margins of 10 – 20%. In doing so, it allows a company to remove redundancies, improve workflows, and quickly scale up production to take advantage of economies of scale as demand for their products increase. 

One of the most important tenets of effective supply chain management is – stick to your core competencies and outsource your non-core competencies. In short, if it isn’t your speciality, find a partner for whom it is. 

Your core competencies will include your brand name, your R&D department, and ability to market your products, among others. This is where Schivo Medical comes in. Schivo’s core competencies revolve around our design & development experience, our vertically integrated manufacturing capabilities, and the close relationships we have with our vendors.

Contact Our Team Today To Discuss Your Supply Chain Management Needs.

The Advantage of Strong Supplier Relationships

Having more than 35 years of experience in the development and manufacturing of medical device components, Schivo have been able to build up a significant number of close vendor relationships. Taking a partnership building approach has seen us develop strong, trusted relationships which allow us to provide a vertically integrated manufacturing process that removes the complexity from the lower levels of our clients’ supply chain. 

Partnering with Schivo accords our clients with the benefits of consistent product quality, reduced manufacturing lead times, and reduced costs while retaining process control. Schivo provide full traceability on all components used during manufacturing of single components, sub-assemblies, complete devices, or full system builds.

Vertically integrated manufacturing process

Medical Device Supply Chain – Case Study

The following is a case study showing how Schivo manages one of our longstanding life science client’s supply chain, end to end in order to reduce complexity and increase efficiency. 

supply-chain-graphic-2

Throughout the production phase, Schivo manages the performance and delivery of 31 sub-tier suppliers on our clients behalf. This reduces the number of vendors our client deals directly with from 32 to just 1.

Vendor supplied parts are combined with in-house developed components as Schivo completes the electromechanical assembly of 173 parts. 

Schivo complete a full and thorough system test and verification in order to ensure the highest quality standards are met. 

Following complex subassembly completion, Schivo deliver a single part number to our client. 

As a result of partnering with Schivo, our client has seen a 96% reduction in supply chain complexity and a 99% reduction in the number of purchase order line items for the subassemblies we provide.

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