Success Stories
Case Study #2: Nu-kote
International Seeks Innotex Global Services Expertise in Product Optimization and
Manufacturing Cost Controls
The problem:
Nu-kote International, the leading U.S. manufacturer of replacement and remanufactured
ribbons and cartridges for ink, laser and fax machines began feeling pressure from its retail and mass
merchant clients as well as office product dealers to offer high quality products, but at even lower costs to
remain competitive in the marketplace.
As Nu-kote International successfully began increasing its share of ink jet cartridges on
retail store shelves, additional pressure was coming from major office product retailers to increase
productivity and offer greater benefits from compatible brands and OEM manufacturers while respecting patents
from these manufacturers. Inkjet cartridge yield levels were at nearly 55%, well-below the standard set
internally by Nu-kote’s engineer teams.
The solution:
Nu-kote International chose Innotex Global Services Zhuhai, China manufacturing facility to
provide its offshore solution versus producing inkjet cartridges in the U.S. Nu-kote International's engineers
worked closely with Innotex engineers to develop a superior inkjet cartridge for over 20 different existing
part numbers using the state-of-the-art engineering technology that allows for continuous controls and testing
of prototypes and final parts. After initial product testing, Nu-kote decided to close its inkjet cartridge
facility in the U.S. and Innotex to manufacture inkjet cartridges out of China under the strict guidelines
developed by the engineering teams. As a result of the process engineering control led by Innotex Global
Services, yield levels were increased to 85% and inkjet production went from a 20,000 monthly output to nearly
a 600,000 unit output per month.
The benefit:
Nu-kote International was able to reduce stock outs and improve overall
customer satisfaction while reducing costs by approximately 30%.
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