Transforming Supply Chain Performance Through Strategic BOM Optimization

Client Background

A leading $Billion technology market leader in mission-critical data center infrastructure, facing challenges in Bill of Materials (BOM) management across a complex product portfolio.

Challenges Faced

This section outlines the core difficulties and pain points the client was experiencing. It provides context on the hurdles that needed to be overcome before achieving the successful outcome.

Unmanageable BOM Complexity:

Thousands of components led to procurement inefficiencies, supplier risks, and excess inventory.

Extended Time-to-Market:

Disconnects between engineering and manufacturing delayed New Product Introduction (NPI).

Cost Leakage:

Material shortages, rush orders, and inconsistent pricing increased supply chain expenses.

Akraya’s Strategic Solution

To transform the supply chain performance, we implemented a comprehensive BOM optimization strategy aligned with supply chain best practices:

Measurable Outcomes

Operational

Operational

25% fewer ECOs; NPI cycle reduced from 12 to 8 months; on-time delivery improved to 98.5% (from 87%).

Financial

Financial

$3.2M annual procurement savings; $6.2M working capital unlocked; $780K annual disruption cost reduction.

Business

Business

Enhanced resilience; lower emissions; faster market responsiveness.

Conclusion

Akraya’s BOM optimization transformed supply chain performance into a competitive advantage, delivering rapid ROI and sustained market leadership.