Streamlining Processes and
Success Story - NTMA
The National Tooling and Machining Association (NTMA) supports the needs of nearly 2,000 members who represent more than $40 billion in sales. Many of NTMA’s members are privately owned independent businesses, the products and services they provide are absolutely vital to the nation’s economy.
As the national representative of the precision custom manufacturing industry, NTMA had set a goal of being a model association and benchmark for performance excellence. The Association was already ISO (International Organization of Standardization) certified, but felt that it should operate as a ‘lean’ organization to keep in stride with the industry that it serves. After evaluating several consultancies, NTMA selected Vendor Centric to facilitate and manage the project.
Our Strategy and Approach
As we started working with NTMA we quickly learned that they had already been operating certain aspects of the organization in a lean way. They had a relatively small staff, coupled with a limited budget, for the level of products and services they provided to their members.
In this situation, our strategy and approach focused on streamlining and realigning certain operational activities to ensure they supported member-facing products and services in the most efficient and effective way. Over a 10-week period we performed a variety of activities including system audits, process audits and benchmarking in an effort to identify prioritize the best opportunities for improvement.
We provided the NTMA management team with more than 40 recommendations for improvements, supported by a detailed plan for prioritizing and implementing the recommendations. Within the first six months more than 90% of the recommendations were successfully implemented, including a new Executive Dashboard for the Association’s Board of Directors.
We also assisted the NTMA team with improving their sourcing strategy in five areas of operations. On their behalf, we renegotiated several vendor agreements which resulted in average cost savings of 22% in those five areas.
“Our Association engaged the team from Vendor Centric to evaluate key activities, measures and benchmarks for the purpose of streamlining processes and, concurrently, implementing a financial Executive Dashboard. We also engaged them to examine and analyze our procurement processing and sourcing strategy, which resulted in many cost-saving recommendations. Their work exceeded our expectations, streamlined many of our accounting processes, consistently met deadlines and improved our bottom line."
Trudy Raby, CFO
National Tooling and Machining Association
MORE SUCCESS STORIES
Our flagship publication shares our philosophy on the power and untapped value of vendor relationships.
Tools & Tips
Read our latest ideas and advice for leveraging vendors to control cost, reduce risk and simplify your proceses.