The simple changes that let Curtiss-Wright's supply chain soar
March 6, 2024
By the Blue Print Editorial Team
By the Blue Print Editorial Team
"No bird soars in a calm" -- Wilbur WrightIf you think Curtiss-Wright isn’t a household name, you’re right – it’s two household names. Or rather, two historically important names. The aerospace technology firm was formed in 1929 by the merger of Curtiss Aeroplane and Motor Company (founded by Glenn Curtiss, aka the father of naval aviation) and the Wright Company (founded by the Wright Brothers – as in, the Wright Brothers). … So, suffice it to say they know a thing or two about innovation. Today, Curtiss-Wright is a global manufacturing business structured to serve three core market segments: aerospace and industrial, defense electronics, and naval and power. Their facility in Shelby, North Carolina, focuses on designing, manufacturing, and repairing rotary gear actuators and electrical mechanical actuators for some of the most technically advanced commercial and military aircraft in the world. But even the most sophisticated operations can struggle with process costs and complexity surrounding the MRO supply chain. What follows is the story of how Curtiss-Wright worked with Fastenal to turn their previous challenges into competitive strengths, reflecting a quote attributed to Wilbur Wright: “No bird soars in a calm.” What makes the story especially compelling is that it isn’t penned by Fastenal – it’s told by Curtiss-Wright’s business leaders in Shelby. Flying through adversityBrian Estep | Divisional Director of Supply Chain Management
Previous to 2021 when Fastenal came on board and became partners with us, it was a very transactional system. There was no data, no analytics, no monitoring of the inventory or usage. So what we ended up with was a lot of stock-outs along with a tremendous amount of dead or slow-moving inventory. Danny Cooper | Senior Director of Operations
We were left with overstock on parts we didn't need and stock-outs on parts that we did need. So we had astronomical expedite charges because we were having to rush things in here just so we could make our product to get the parts out the door to make our customers happy. Brian Estep: When it came to re-bidding the business, we chose to take a team approach. We had a representative from every core group inside this building, and we asked each one, “What's important to you when we select this supplier?” Then we created a matrix of the qualities we were looking for and weighted them based on what we thought was highest to lowest importance. Cost was one of those, but it was not the leading factor.
We started out with four different suppliers, and we asked them to show us what they could do for us in those multiple categories. We went from four down to two, and then the ultimate decision was made by the team. Again, we were really looking at the total value because everybody has different stakes in the game. I'm looking at cost. Somebody else is looking at customer service. Our engineering department is looking for assistance in metalworking. So everybody involved had a different area that was very important to them. Danny Cooper: One of the reasons Fastenal appealed to me was that they were local. They were already part of this community, part of this town, and they fit right in with our employees from day one. They were very genuine – you could just tell that they were being open and honest and not trying to sell us anything. I knew early on that they were going to be the supplier I would pick.
Brian Estep: We had slated 90 days for a transition period. But unfortunately, when the incumbent was informed that we were making a change, they decided to pull up stakes and move out. They pulled their machines out and left us with no data, no analytics, so we instantly went into panic mode. Danny Cooper: From an operational standpoint, I had this identified as high risk and that we were going to miss so many shipments per month, per quarter, until we got this resolved. But Fastenal was able to step in, and because of their hard work, dedication, and bringing extra people in, we did not miss one shipment during the transition period. Brian Estep: Luckily, Fastenal, recognizing the state of emergency we were about to be in, rushed in all the vending machines ahead of schedule and sent extra people on site. They grabbed and started cycle-counting on-hand inventory. They took what usage we had from different departments based on their memory, and simply through sheer willpower and manpower, they pulled us through that first 90 days. "What do you need out of us as a supplier?"Brian Estep: From that point until now, basically everyone in this building knows the Fastenal team by first name and vice versa. It started with the implementation team that came here. Fastenal doesn’t just want to know numbers; they actually met with every single department in this building and they wanted to know from each department, What do you need out of us as a supplier? So they customized and tailored every solution that went into this building to fit the need of that internal customer.
Danny Cooper: Fastenal enhances Curtiss-Wright's ability to be world-class by not offering just one solution – one size does not fit all. They do modernization or specific setups for us. If we need a special machine in a certain place that provides a certain part in a certain way, then they're not afraid to go out and do that. They invest in that, and there are many solutions out on the shop floor that are probably not offered anywhere else except for Curtiss-Wright. Metalworking support and solutionsBrian Estep: Traditionally, we’ve had metalworking suppliers but no engineering assistance on that side. So, it had been solely up to us to develop our own custom tooling, do our own testing, our own prove-outs. But Fastenal came along with that expertise. They work hand in hand with our engineers from the start of the project to the finish of the project. They help us determine what types of cutting tools we need, whether there’s a custom design that needs to be made, and they actually assist us in the testing on the floor and provide that data back to us. So, it takes a lot of strain off of our engineering department to have that extra resource to help prove out the best cutting tools for that project.
Jeremy Boone | Manufacturing Engineer
They’ve done testing for tool life and also some time studies. That’s helped us to increase cycle time and increase tool life – those are two areas that really stick out as adding a lot of benefit to our department and the shop floor as a whole. Brian Estep: We have multiples of some very expensive cutters out here that have to be sent out for resharpening. Some of them have to go overseas for refurbishment, so you really have to plan for that rotation. Fastenal came in and customized a solution to manage that process for us so that we get maximum value out of those tools; and our engineers and operators know exactly where they are at all times, which has led to a tremendous pickup in productivity.
Jeremy Boone: One of the single biggest benefits I’ve seen in my role is the implementation of the asset management system for our hobs [expensive tools used to cut teeth into the workpiece]. In the past, I would have to physically manage those items in a cabinet, and we had guys on the floor – people who were responsible for running machines – spending time keeping up with the inventory as well. Implementing this system with Fastenal allows us to take a hands-off approach. We know where all of our tools are, and when we go to get a tool, it’s just there – no risk of missed shipment, no risk of expediting fees, and it's really worked out for us. Understanding how every tool is used in the shopBrian Estep: You know, data is king. You need data to make business-driven decisions. Before Fastenal, we had very little data, very little analytics to understand our MRO spend. We knew at the top level how much we were spending on machine tools, on safety, on cleaning supplies, et cetera, but not down to the level of the job, the machining center, the operator.
Danny Cooper: We can pull reports out of the machines that tell us not only who took it and when they took it, but what cell they used it in and what product line it was used on. So, this allows the manufacturing engineer to go in and see what is driving our tool cost and if there’s an opportunity to drive that down. Before, you had a million dollars’ worth of tooling out there somewhere on the shop floor. You didn't know who was using it or what they were using it on; maybe you had a general idea but certainly not to the level of detail that we have now. Brian Estep: So we can now look at trends. Any information that we need either is provided to us on a weekly basis or Fastenal has that data that they can provide to us, even down to the financial transactions. We have it driven down to the GL code line so that we’re able to get one bill a week, not multiple bills. And all that data is bucketed into the proper expense accounts, just the way finance needs it, so there’s not a person in between who has to sort that data. So, any type of data that we need is either provided or it’s already available to us. The value of the partnershipDanny Cooper: The value of having a Fastenal team on site is priceless really. We just don't have the resources that it takes to manage something as big as MRO, and that's what Fastenal does – they're the experts at doing things that we're not capable of doing.
Brian Estep: We have a lot of complex specialty parts that we buy, assemblies that we buy, machine components. And of course we’re doing something very specialized on the shop floor – we're making aerospace parts. I would rather that the experts we have in this building focus their time on those core things that are unique to us. So you get a group like Fastenal, they can give you the same effort that we put into the things we make and the things that we buy for these complex assemblies – they put that same level of effort and expertise into those things that they supply. They truly add value to help us be at that world-class level. Danny Cooper: Bringing Fastenal on board has helped me do my job as senior director of operations. I don't have to worry about running out of product, running out of supplies, and missing shipments because we miss something. Fastenal has brought to the table 100% on-time delivery and quality. Watch the video to see the story and solutions in actionVertical Divider
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ONSITE TEAM
Five dedicated Fastenal employees execute daily replenishment of roughly 1,200 items stocked in 20 plus vending devices and other locations throughout the plant. Additional Fastenal personnel manage the supply chain for those items. LEAN SOLUTIONS SPECIALISTS Fastenal’s Lean/project management experts led the charge in executing the (unexpectedly abrupt) transition and creating custom supply solutions for each area of the operation. METALWORKING SPECIALISTS Providing consultation and testing to help Curtiss-Wright’s engineers select and prove out the most cost effective tooling for specific manufacturing processes. RFID ENCLOSURES A two-bin kanban concept to simplify replenishment and ensure continuous supply of cap plugs near the point of use. PRODUCT LOCATOR Allows employees on the shop floor to quickly locate specific tool needs using keywords, part numbers, or product attribute filters. VENDING SOLUTIONS Providing secure point-of-use access to high-value cutting tools. The usage reporting helps Curtiss-Wright identify opportunities for improvement and dial in on job costing at the work cell level. ASSET MANAGEMENT SYSTEM (HOBS AND KAPP WHEELS) Using Fastenal’s asset lockers and asset management software to manage tool refurbishment and provide visibility to who is currently using individual tools in the shop. PAINTS & SEALANTS MANAGEMENT SYSTEM The supply chain for AS9120-certified products is managed by Av-Tech, Fastenal’s aerospace/mil-spec distribution division. Fastenal’s asset lockers and software are used to monitor expiration dates and ensure compliant product is used. RECYCLING PROGRAMS Previously, carbide scrap and used nitrile gloves ended up in landfills. Today, these materials are recycled, monetized, and reported on to help Curtiss-Wright achieve their sustainability goals. |