Cypress Achieves More Than 99% On-Time Delivery And Reduces Lead Times

Based on customer feedback, Cypress focused on four specific areas to improve on-time deliveries: simplifying the company’s supply chain, backlog and capacity planning, flexible manufacturing, and dual sourcing. The improvements involved reorganizing resources and changing planning methods to deliver on time by design. Cypress leaned out its supply chain by moving from 31 manufacturing sites with 211 travel routes to 18 sites with only 48 routes.

As part of the effort, Cypress also reduced the average product lead-time from approximately seven weeks to five weeks. Cypress has also invested in additional manufacturing capacity and placed a focus on having multiple sources available to manufacture products, giving the company the flexibility to absorb manufacturing delays and increases in demand.

In 2010, Cypress launched a major effort to serve our customers better, and we are very pleased with our progress, especially with regards to on-time delivery,” said Minh Pham, Executive Vice President of Worldwide Manufacturing and Operations at Cypress. “Our customer support program is fundamentally based on listening to direct customer feedback and acting on it. This is the primary impetus for our new customer service website, which we believe will facilitate communication for our customers while helping us achieve our goal of 100% on-time delivery with just a four-week lead-time.”