Solution

MRO Platform Solutions: How Chilok Solves Press-in Nut Inventory Overstock with VMI Consignment & Small-Batch Procurement

MRO Platform Solutions: How Chilok Solves Press-in Nut Inventory Overstock with VMI Consignment & Small-Batch Procurement

A Shenzhen auto electronics factory (a Tier-2 supplier for BYD battery packs) faced a typical MRO challenge: >180 press-in nut SKUs, monthly consumption <300 pcs, leading to inventory turnover ratio of only 1.1 and severe capital lock-up. Guangdong Chilok Industry Co., Ltd.’s MRO platform delivered a customized solution:

  • VMI Consignment Inventory: 5M press-in nuts held in Shenzhen bonded warehouse; customers settle based on actual consumption—zero inventory risk;
  • Small-Batch Procurement: Full M1.2–M12 series, MOQ 50 pcs, no tooling fee, no minimum order;
  • Smart Replenishment System: Integrated with customer SAP system, auto-triggering replenishment orders, lead time reduced to 48 hours.

Implementation Results

  • Inventory turnover ratio improved from 1.1 to 8.6;
  • Annual MRO total cost reduced by 29%;
  • Purchase frequency shifted from monthly to weekly, response speed increased by 300%.

As a core member of Shenzhen’s MRO supply chain, Guangdong Chilok Industry Co., Ltd. has delivered similar services to 327 manufacturing clients. Sign up for a VMI account at www.chilok.com now.