Global Fastener News

2011 FIN – Roseman, Gallo & Vodicka: How to Buy Fasteners

February 25
00:00 2015

November 21, 2011 FIN – Have a company purchasing philosophy, don’t be wooed by small price differentials and learn the product – not just the part numbers – are suggestions from a New England Fastener Distributors Association conference on “How to Buy Fasteners.”

Panelists Joel Roseman, Skip Gallo and Bill Vodicka offered tips during the session sponsored by Following are excerpts:

Roseman: Focus on ‘Total Cost’
The first step in training fastener buyers is the distributorship must establish a purchasing philosophy so “everyone is on the same page,” stated Joel Roseman of Arnold Supply Inc.
He recommended dealing with suppliers “who understand your needs.”
“Keep focused on “total cost,” Roseman advised.
A supplier who can ship in the 35-lb boxes needed by your customer reduces the cost of repacking, he pointed out.
Deal with suppliers who understand your customer’s needs on a technical basis too, Roseman added.
Use a limited number of suppliers. “Spreading business around doesn’t give you leverage,” Roseman emphasized.

Gallo: Domestic Getting More Competitive
“Don’t be wooed by small incremental price differences,” advised Skip Gallo, executive vice president of Next Level Partners.
Distributors need to establish strategic thresholds on what percentage they need to save to change suppliers.
Gallo suggested 18% to 22% at a minimum and they should be looking for 25%.
“Increase your thresholds,” he advised.
 Fastener buyers should consider domestic suppliers who may be more competitive than a decade ago.
Gallo cited the nail industry, which predominately went offshore for more than a decade.  But in the past 18 months competitive nails for nail guns are again being produced in Rhode Island.
Availability of product should be a factor in calculating the “true landing costs” of an order, Gallo pointed out.  What happens due to hurricanes, tsunamis and other supply interruptions affects costs.

Vodicka: Know Your Product
“Know your product,” is Bill Vodicka’s first suggestion. “Fasteners are not just part numbers.”
“Ask questions,” the AllStar Fasteners Inc. sales manager urged.
 Don’t just ask questions of your vendors – also talk to your customers, manufacturer Vodicka added.
Provide all the pertinent information with the original RFQ.
 “Don’t provide the print after we’ve already quoted,” he said.
Consider ordering more than you need today. “We will do stock & release,” Vodicka explained. “We can’t always make screws in seven days when a boat isn’t on time or the product is wrong.”
“All of us have faced quality issues and it is not necessarily the screw,” Vodicka observed. For example, by listening you may be able to advise your customer that it is a torque problem, “It makes you look that much better to the OEM,” Vodicka pointed out. ©2011/2015 Fastener Industry News.
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