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Capital Is King
Today's high-tech electronic products companies face unprecedented financial and schedule performance challenges. To overcome these challenges, companies must unleash existing, pent-up capacity, including investment capital and engineering time. Sente's Test Resource Management solutions increase the capacity (output) of your existing resource base, providing management with the flexibility to shift already-planned investments of capital or people into new areas. This produces additional returns – and therefore higher ROIC – for the enterprise. Plus, management has the flexibility to hold on to newly released capacity for future programs while dropping the savings directly to the bottom line as a cost reduction.

What's Driving Your Business?
The current state of our financial system is driving an unrelenting focus on capital availability. There are fewer dollars being competed for by the same number of companies. While companies need to ramp up their investments to differentiate themselves in this highly competitive marketplace, scarcity of capital thwarts their plans. In this environment, skillful capital and resource management on the demand and supply side becomes a strategic necessity.

A company’s test environment holds a significant amount of untapped potential for freeing up investment dollars. Large investments in capital and already large installed bases of equipment run at utilization rates ranging from 10% in engineering environments to 50% or higher in volume production areas. We have found the average utilization across engineering and operations is below 20%. There is untapped potential in this inefficiency and, at the same time, many barriers that have continually thwarted attempts to increase utilization.

  • Engineers hoard equipment
  • Conflicting organizational incentives reduce cooperation
  • Equipment is not standardized
  • Processes are reactive
  • Engineers spend unproductive hours researching or searching for equipment
  • Pressure and busyness trap organizations in the same unproductive behaviors

For years this has meant that utilization will stay low and costs will stay high. It doesn’t mean that anymore as Sente’s Approach. gets to the root of these issues allowing utilization to be driven higher and costs driven lower.

  • Capital budget reductions of 50% to 75%
  • Maintenance and support cost reductions approaching 50%
  • Reduction in unproductive user time of 75% to 90%

Combining these “demand side” improvements with “supply side” improvements by having more robust demand side visibility increases the overall savings as you are able to negotiate better deals for test equipment and associated support services.

Achieving results of this magnitude requires a fundamentally new approach … a new paradigm with new guiding principles and practices. Only The Sente Group offers you a complete set of custom-tailored solutions that help you drive dramatic business improvements in your company's test environment. Let us help you realize unprecedented improvements in profitability, time-to-market and engineering productivity – all while earning the trust of your engineering personnel. To get a glimpse of the potential financial benefits of a Test Resource Management solution for your company, use Sente's free online assessment tools.

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