As Mr. Anuphap has informed to you, I talked to Mr. Eto in SMT for changing motor supply chain.
Current: SMT TSC
New: DENSO TSC
SMT Mr. Eto proposed condition that if and only if TSC do not mark up or increase managing cost for motor price, SMT will accept and going to discuss with Denso.
Normally when MK make quotation for W/R we add managing cost including motor.
But what he trying to say is this time is SMT cannot accept our adding managing cost in motor this time.
Thus, I summarized merit and demerit.
Merit:
1. Denso need to supply motor accordingly to TSC’s requested qty. It is easy to control for TSC.
2. TSC Sales figures will be increased.
Demerit:
1. By not adding managing cost, TSC must take care of this managing cost instead. Cost will be up while sell price remains same.
2. Since we struggled for quality problem with Mitsuba, we might face same problem with Denso too.