Benefits/disadvantages for client when supplying free-issue kit:

Benefits for client when supplying  free-issue kit:

Parts are cheaper

Client selects suppliers of components

Disadvantages to client when supplying  free-issue kit:

Client has worse cash-flow, needs to pay component suppliers earlier for parts.

Client needs to check parts for correct delivery quantity, chase shortages, check labelling, condition of components, part references, etc.

Client has to deal with any errors, returns, etc.

Client must chase shortages

Client must supply extras, i.e.  generally, 5% additional parts to cover production losses.

Client has risk of purchasing faulty "grey" market components.

Client has risk that wrong parts supplied will be fitted, with rectification at client's cost.

Client has administration cost of setting up supplier accounts, ordering, and paying on time.

Client has responsibility for administration and maintenance of component traceability records.

Client has responsibility for ensuring components are supplied in anti-static packaging.

Client must pack and onward ship complete kit.

Client has responsibility for the consequences of incorrectly supplied parts, including the cost of rework (if required).

What we do when we supply component kits:

We only use approved component suppliers.

We check part availability, re-negotiate or re-source if necessary.

We do not use grey market suppliers unless requested to do so by clients

We offer choice of alternative parts to clients where appropriate.

We rigorously check that client part numbers and descriptions agree with supplier part numbers and descriptions, and report / resolve discrepancies.

Our good inwards check every part received for correct markings, correct labelling, and correct quantity, against our BOM.

We chase shortages.

We maintain full traceability of parts supplied.

We take responsibility for the fitment of correctly sourced parts.  Re-work (if required) will be at our cost.

We maintain components in an anti-static environment.

 Component costs are only charged when we invoice for completed assemblies, thus client's cashflow is improved.