How One Buyer Used Supplier-Led Capacity Sharing to Avoid Stockouts

In episode 52 of The Buyer's Side, Lucas and Luna explore how a mid-sized medical device manufacturer used a supplier-led capacity sharing arrangement to avoid critical stockouts during a surge in demand. The buyer, Sarah Chen, procurement lead at MedCore Devices, faced a dilemma when her sole-source supplier of a key plastic component couldn't keep up with a 30% demand spike. Instead of expediting fees or panic-buying, she proposed a capacity-sharing pact: MedCore would fund a dedicated production line at the supplier's facility in exchange for guaranteed output and a 7% price reduction. The deal required trust, transparency into the supplier's cost structure, and a willingness to share demand forecasts. The result? Zero stockouts over six months, a 12% reduction in total cost of ownership, and a stronger strategic partnership. The hosts also discuss how capacity sharing differs from traditional vertical integration or multi-sourcing, and when it makes sense for buyers to invest in supplier infrastructure. #CapacitySharing #SupplierPartnership #ProcurementStrategy #SupplyChainResilience #MedicalDevice #StockoutPrevention #CostReduction #SupplierInvestment #DemandForecasting #SoleSource #Manufacturing #BuyersSide #FexingoBusiness #BusinessPodcast #Sourcing #B2B #SupplyChain #RiskMitigation Keep every episode free: buymeacoffee.com/fexingo