Jayson WhitakerUtility Fibre Systems

Searching for the cost effective supply chain

Today’s session:

•Your current options•The pitfalls•A better way…• IFNL and Fibrereach•Adding value•Q&A

Complexity…

So, you’ve got funding…

Stage One – Form a groupStage Two – Identify demandStage Three – Business models

Stage Four – Appoint a supplier

NOW WHAT?

What are your options?Direct from manufacturer

Big merchant supplier

Specialist supplier

Supply chain nightmares…

you want it when !!

•Forecast by customer “less than accurate”•High stockpile with no short term return on investment•Product price increase which affects margin•Losses in store/site/warehouse •Change of specification by manufacturer with no notice•Suppliers not able to deliver on time•Higher/lower useage compared to forecast which creates product shortages/overstock•Suppliers deliver substandard – or wrong - products

Supply chain nightmares…

There is a better way

If you're building, maintaining or repairing fibre optic networks (FTTX), Utility Fibre Systems can source and supply all the products you need.

What makes us different?• Part of the Fusion Group

•Multi-utility specialists•Good stock levels of all products•No minimum quantity order•Competitive pricing• Local coverage•Organised logistics• Technical know-how

Independent Fibre Networks Limited (IFNL)Delivers next-generation voice, data and television networks to new build developments.

Originally didn’t require supply chain – struggled with direct deliveries from manufacturer.

Independent Fibre Networks Limited (IFNL)

•Had to order 3 months fixed stock in advance•No flexibility•As business grew, lack of logistical supply chain

caused chaos• Issues with wastage, missing stock, delivering on

time

As they won more national contracts they needed a supply chain partner…

Independent Fibre Networks Limited (IFNL)

… Utility Fibre Systems / Fusion had good reputation delivering gas, water, electrical and fibre products

•We profiled IFNL’s actual stock usage and reduced their site inventory•We committed to holding stock for IFNL•Delivered only the correct products to correct

address•Reduced wastage and theft• Enabled IFNL to program their work efficiently

“I was sceptical but after 3 months the lead times and stock availability issues evaporated and I can now have the savings and benefits of no stock and a next day delivery”

Duncan LeGrice, IFNL:

Fibrereach:UK's only independent provider with the accreditation to install fibre optical cable in small diameter waste water networks

• Recently delivered the design and build of two 96 fibre links for Scottish and Southern Energy Telecoms.

• The networks in Glasgow and North Lanarkshire are over 12km in length

• Significant percentage installed in Scottish Waters waste water network.

• They had to deliver this on time and to a budget, so the cost of a depot was not an option

• Needed to appoint a multi utility supplier who combined utility sector knowledge with call off to site

• Crucial in meeting the targets.

“We approached UFS to manage our supply chain asking them to deliver the product so we can deliver the service”

Future adoption of network?

“Yeah, but, I can buy it for £1…”

In Rural Broadband - Cash is still king.

Be guided by Oscar Wilde:Don’t let anyone who “knows

the price of everything and the value of nothing” make your supply chain decisions.

Steve BradleyUtility Fibre Systems

Jayson WhitakerUtility Fibre Systems