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Seeking to minimize production line stoppage risks at local factories in Thailand? By maintaining local inventory of molding resins and rubber at our Thailand base, we significantly reduce supply chain risks associated with overseas production transfer. We roll this out as a standard scheme from a BCP perspective for Tier 1 to Tier 3 automotive parts manufacturers.
“Line Stoppage Risks” Becoming Apparent at Thailand Automotive Parts Sites
The goal is to achieve a stable supply overseas (Thailand). Production stoppage risks are becoming apparent due to supply chain factors associated with overseas transfer and local production.
On-site interviews revealed that raw material supply disruption is the maximum risk.
●Scenarios where this becomes apparent: Existing product improvement + overseas local procurement phases.
●Main impacts: Extended import lead times, production line stoppage risks, and the demand to balance both function/performance maintenance and delivery times.
Why Stoppage Risks Remain: Import Lead Times and Changing Conditions in Overseas Transfer
Procurement and supply chain factors (extended lead times, build-to-order products, etc.), and changes in conditions associated with overseas transfer.
●Specific Rationale: On-site interviews, actual import lead time records.
Measures Tried So Far and Their Limitations
Just-in-time importing faces issues such as ocean freight delays. Proposals for local alternative materials failed to achieve the required physical properties.
Based on these limitations, we adopted the following approach as a more fundamental solution.
Solution Approach: Thailand Local Stock × Global Division of Roles × BCP Buffer
Building a local inventory scheme in cooperation with overseas bases.
STEP. 01
Local Stock
Storing the required quantity at our Thailand base
STEP. 02
Global Division of Roles
Securing materials stably on the Japan side. Handling local delivery and information gathering at the Thailand base.
Fuji Chemi Trading’s Supply System: Headquarters × Thailand Base
This solution is established through the division of roles across multiple locations.
・Headquarters / Domestic Sales: Stable securing of materials.
・Thailand Base: Local inventory, local customs clearance, local delivery, and information gathering.
・Supply System: Stable supply to the production line via local storage.
Results Achieved Through Implementation
Improving delivery times and supply stability, ensuring smooth overseas expansion. Significantly mitigating production line stoppage risks.
●KPI Candidates: Zero line stoppage incidents / Shortened delivery lead times / Optimized inventory rotation.
●Implementation Lead Time: Gradual transition up to the launch of the inventory scheme.
Expected Ripple Effects and Horizontal Rollout
The effects of implementing this solution extend beyond solving the primary challenge. Please also utilize this as material for internal and management-level proposals.
・Proposing local inventory schemes for auxiliary materials other than molding resins (adhesives, release agents, cleaning agents, etc.)
・Expanding the same scheme from Thailand to Vietnam, Indonesia, and India
・Proposing “Global Inventory Strategy” themes to customer headquarters procurement departments
Difference from Competitors: Why Fuji Chemi Trading is Chosen
Competitors without a local subsidiary cannot handle customs clearance or local inventory. Fuji Chemi achieves both headquarters quality and local speed through Japanese-speaking sales support and local inventory at our Thailand subsidiary.
Product Information & Specification Overview
The main specifications of products with a track record of adoption can be selected from multiple grades depending on the application and required conditions. Representative specifications are as follows (please contact us for detailed specifications).
| Item | Specifications |
|---|---|
| Primary Application | Molding resins and rubber for automotive parts |
| Inventory Base | Thailand Base (Local storage, customs clearance, delivery) |
| BCP Buffer | Securing a buffer equivalent to multiple ocean shipments |
| Target Customers | Tier 1 to Tier 3 automotive parts manufacturers |
| Rollout Bases | Horizontal rollout possible to Vietnam, Indonesia, India, etc. |
| Supply Form | Local delivery |
How to Use & Operational Examples
The following patterns are frequently adopted for actual operations.
・Evaluation Phase: Requirement hearing → Sample evaluation → Specification finalization
・Pre-Mass Production Preparation: Division of roles across locations, specification standardization, and local launch
・Mass Production Phase: Ensuring short lead times and stable supply through our supply system
・Horizontal Rollout: Supporting expansion to other bases and projects
FAQ (Frequently Asked Questions)
How is the stock volume determined?
We will design the optimal buffer volume together with you, considering estimated production volumes, ocean freight lead times, and demand fluctuations.
Can you handle auxiliary materials other than molding resins?
All types of auxiliary materials, including adhesives, release agents, and cleaning agents, can be integrated into our local inventory scheme.
Can this be rolled out to other ASEAN countries or India?
Yes, expanding the exact same scheme to Vietnam, Indonesia, India, etc., is completely possible.
Is it possible to implement this under the leadership of our headquarters’ procurement department?
Yes, we can design a “Global Inventory Strategy” in cooperation with your headquarters’ procurement department.
How do you handle local customs clearance and legal regulations?
Our local subsidiary in Thailand fully manages customs clearance and compliance with local regulations.
Proposals by Related Applications and Challenges
■ Local Procurement of Protection Sheets for Product Transportation in Vietnam | Delivering Directly to Lines with Adhesive Tape and Slitting Processing
■ BCP-Compliant Procurement of FRP Grating for Plants | Achieving Mass Production via Overseas Supplier Development and Quality Replication
