Improved die-cast supply chain

Improved die-cast supply chain

When a part used in thousands of Honda SUVs became difficult to deliver, Piolax USA reviewed its entire supply chain to identify the root cause.

All signs indicated that the die-cast part itself was the issue, one Piolax might have had to accept—until other suppliers recommended Dynacast to the manufacturer.

Piolax USA manufactures a range of metal and plastic automotive parts used throughout the vehicle, from clamps and harnesses to powertrain and fuel-system parts.

"We're 100% automotive," says Josh Miller, Purchasing Manager at Piolax USA.

That is no overstatement. Its Japanese-owned parent company, Piolax Incorporated, is a major industry player. Now in its 85th year of business, it is listed on the Tokyo Stock Exchange and serves a highly demanding client base.

"Nissan is our main customer, and we are a tier-one supplier to Ford, Honda, Toyota and GM," Miller says. These relationships also extend to many suppliers serving those brands.

With a global industry relying on it for parts, Piolax—which stands for 'pioneers of elasticity'—requires a supply chain as adaptable as its name.

Supply chain audit

A decade ago, the Canton, Georgia-based manufacturer began a project with Honda. "The application was a tie-down assembly," Miller says. "It enables people to secure luggage or anything else safely in the SUV cargo area."

For years, the project progressed routinely, and Piolax received the product only after casting, sanding, buffing and plating. Over time, however, the part was added to different platforms, models and other configurations, increasing volumes—and creating challenges with on-time delivery.

To identify the root cause, Piolax visited every supplier involved in the part.

"We found that most of our suppliers—the plater, the buffer and the sander—were world-class," says Miller. "The actual manufacturing, the casting of the hook, was the weak point."

Under pressure for time and quality

Initially, Piolax used a die caster in neighbouring Alabama to produce the part. However, as the project grew, the supplier became a bottleneck—particularly given the quality and cosmetic requirements of the part.

"With chrome-plated die-cast parts, everything has to come together precisely," says Brad Doornbos of Dynacast. "Tooling, tool temperature, fill rate—every condition has to be exactly right."

When it is not? "If that part comes out of the tool with any imperfection," Doornbos says, "the chrome plating will accentuate and magnify even the smallest surface defect."

This results in delays, costs and waste, either through additional sanding and buffing later in the process or by scrapping the cast parts before they are even shipped. Either way, Piolax had identified its problem.

Confidence and capability

For the newest version of the part, Miller and his colleagues asked their other suppliers for advice. They asked: "Who would you recommend that can, without a doubt, produce a very high-quality part that will be visible to the end customer?"

"The first company they suggested was Dynacast," Miller says.

He added Dynacast's Peterborough, Ontario plant to his audit. That visit, he says, confirmed his suppliers' confidence that Dynacast could deliver parts to Piolax standards.

"You could tell they were experienced in similar projects. The appearance issue we had with the previous part did not intimidate them; it was well within their capability," says Miller.

His meeting with Dynacast's engineering experts reinforced his impressions. Following that visit, Piolax awarded the new project to Dynacast—but that was not all.

"From the professionalism, organisation and precision they demonstrated, it was obvious that they knew exactly what they were doing," Miller says. In addition to the new project, he cancelled his previous project with the other die caster and appointed Dynacast to take it over.

"On-time delivery, quality, communication and price had been difficult with our previous supplier," says Miller. "Those are the four key areas that need to be strong for us—and for our customers. And those were the things I knew Dynacast would deliver."

"I knew Dynacast would be a solid supplier to Piolax. Not only now, but somebody we could partner with, move forward with, and grow with in the future." - Josh Miller, Piolax