Back orders and China

[anonymous]

Back orders are worse than ever. We have been waiting for months on product to come from ops. Now I hear that we are waiting on some of these instruments to come out of China? Really?

Is that the plan? We are waiting for China saves us?

Is it common industry knowledge that we are getting implants and instruments from China?

 

[anonymous]

I'm curious as to how those of you who were around during the Ponce and North Campus fiascos would compare with what we are dealing with now. Is this worse, the same as or no big deal relative to those messes?

 

[anonymous]

Totally different. That was ignorance and bad circumstances left unattended. Once we finally took action the fda felt that we didn’t take their concerns seriously or that we failed to reduce the risk associated with their findings. Then came the hammer and we got in line. The rest is history and we are a better company for it. Slower but better.

This issue could have something to do with supply chain but I guess it has more to do with managing the numbers. Got to get that EPS up. This is all deliberate and assumes that we can get through this. We hope that no one notices the backorders and that the other vendors suck more than we do.

Any volunteers that might want to get over to China and expedite those backorders? Couldn’t possibly be anything wrong going on over there. Especially will all the freedom to travel and willingness to cooperate with US leadership. Someone please fix this.

 

[anonymous]

I was told can’t get enough metal from our metal vendors, then I was told it’s the glue that is involved in packaging…. My guess would be cooking the books till end of year, then come up with a different scheme next year. Our leadership don’t care about the business, they just care what shareholders think they see. All about the bonus upon eventual departure IMO.

 

[anonymous]

Every company and every industry is dealing with this problem.

The issues origin began when companies began using a model referred to as cycle stock. Why have tons of inventory sitting in a warehouse eating up the books when you can forecast within a degree of accuracy the amount of stock needed based on past performance?

The idea of forecasting cycle stock allowed companies to move manufacturing overseas, specifically China. Products were still made with quality control in mind through FDA approved facilities, but at a fraction of the cost. A company would forecast it’s needed stock for the next quarter and manufacture accordingly.

Then Covid happened. Companies had limited stock on hand and their ability to manufacture products is now in the hands of a communist country that is literally locking it’s residents in their homes during an outbreak.

Why not move the facility? Not so easy. Tooling and manufacturing equipment is extremely expensive, excluding the labor training needed.

Why not have the factory overproduce product now to clear the backlog of orders? Only a few companies like Apple have factories that manufacture only for them. For the majority of companies, they share factory production. Want more products made? So do 5 other companies using that factory.

Once upon a time I worked in sourcing oversees manufacturers, traveling to China more than any freedom loving person should have to.

 

[anonymous]

Well said. Supply chain is a delicate matter and we are in a similar situation as our competitors. My SN counter part is applying for pharma jobs thinking its easier. I stood over his shoulder and helped him fill out application due to their problems. He is also a moron, so he appreciated my help.

Every company and every industry is dealing with this problem.

The issues origin began when companies began using a model referred to as cycle stock. Why have tons of inventory sitting in a warehouse eating up the books when you can forecast within a degree of accuracy the amount of stock needed based on past performance?

The idea of forecasting cycle stock allowed companies to move manufacturing overseas, specifically China. Products were still made with quality control in mind through FDA approved facilities, but at a fraction of the cost. A company would forecast it’s needed stock for the next quarter and manufacture accordingly.

Then Covid happened. Companies had limited stock on hand and their ability to manufacture products is now in the hands of a communist country that is literally locking it’s residents in their homes during an outbreak.

Why not move the facility? Not so easy. Tooling and manufacturing equipment is extremely expensive, excluding the labor training needed.

Why not have the factory overproduce product now to clear the backlog of orders? Only a few companies like Apple have factories that manufacture only for them. For the majority of companies, they share factory production. Want more products made? So do 5 other companies using that factory.

Once upon a time I worked in sourcing oversees manufacturers, traveling to China more than any freedom loving person should have to.