Kitting and assembly improves operational efficiencies, reducing bottlenecks, wasted time and space to improve productivity and profitability for manufacturers or order fulfillment companies. Kitting in manufacturing entails assembling various products and components together into one unit for ease in further assembly or to develop a final product for sale.
Peoria Production Shop has vast experience in kitting for manufacturing products or consumer goods such as tool box kits. Companies like Milwaukee Tool can let PPS kit and assemble various screwdrivers, wrenches, hammers, and other tools together in one box for sale. Kitting in manufacturing improves the efficient flow of goods and provides many additional benefits.
Kitting Operational Advantages
Outsourcing kitting helps manufacturers to save space in a warehouse. Likewise, outsourcing allows for the cost to only account for the space used for the production of the kits.
Reduce Shipping costs
Kitting allows for the sale of many single components to be consolidated into one order which ultimately lowers shipping costs.
Savings on label products
Consolidating products into one kit makes the use of multiple labels unnecessary, one label can represent an assembled kit.
Conserve Time and Money
Kits save time and labor because all of the products are in one place. This reduces the need to search for inventory.
Amplify the Bottom Line
Kitting services allow for manufacturers to boost sales. For example, original manufacturers can include one expensive wrench with less expensive products for an increase of sales of a kitted tool box. Likewise, manufacturers can combine products that might not do as well on their own. This tactic allows for manufacturers to gain increased product awareness for a specific product at a lower cost.
Kitting Advantages for Businesses
Kitting products can help a company stand out because they provide the customer for an all-in-one option. This strategy helps a business to stay competitive and increase brand awareness.
A company can analyze customer purchases to combine kits for frequently purchased products. For instance, if the sales analysis shows that customers are purchasing a tape measure, hammer, and nails all sold separately, a manufacturer can create a kit that includes all of these components in one kit. This improves customer convenience and overall satisfaction.
Through further analysis, a company might discover that these product combos deliver a better return on investment. Testing out new products in kits helps to further specify the supply and demand of specific products.
Why Should Businesses Manufacture Kits?
Kitting has proved to be a successful strategy for increasing profits and lowering operational costs. Kitting in manufacturing also helps to increase those sales exponentially. When choosing to put together various components into one kit, the speed of production increases and the company is able to push out products at a faster rate.
A contract manufacturer can effectively organize products for an efficient kitting process. Kitting ultimately allows for getting the job done faster with less costs directed towards operations. Kitting improves the bottom line for a successful business.
Peoria Production Shop has over 80 years of experience in kitting and assembly for some of the largest manufacturers in the world. We utilize the strengths of our employees, our modern, state-of-the-art facility and vast resources to provide efficient, cost-effective kitting and assembly. Contact us for all your kitting in manufacturing solutions.