Supplier/Service Opportunities

The dynamics of the computer industry compel SGI to enter into business relationships with those suppliers that provide pricing for products and services that is fair and reasonable. As a manufacturer of leading-edge computer graphics hardware, suppliers must be relied upon to provide high-quality goods and services, responsive customer service and, when called upon, short lead times.

SGI is environmentally sensitive, and we encourage our suppliers to have similar commitments. SGI exercises the highest standards of integrity in the conduct of its business. We expect our suppliers to conduct their business in a similar manner. SGI encourages and supports suppliers that utilize current electronic tools (such as e-commerce, EDI, and the Internet).

We rely on a variety of suppliers to provide key elements in the following areas:

  • Indirect products/services - For suppliers/service providers that furnish products and services that support SGI's plant maintenance, repair of equipment, and operations (commonly referred to as MRO items).
  • Direct products/services - For products and services that directly relate to the manufacture, assembly, and servicing of SGI products.
  • Outsourcing services - For service providers that could assume the total responsibility or such functions as the management of a temporary labor force, plant management and maintenance, turnkey products, contract manufacturing, and moving services.

SGI Indirect Purchasing

Corporate Purchasing specializes in the procurement of products and services that are utilized by the corporation itself, as opposed to the procurement of materials used in the manufacturing process. SGI uses state-of-the-art electronic commerce software to process purchase requisitions and send purchase orders to suppliers. Corporate Purchasing Buyers (who are located both in California and in the Midwest) receive purchase requisitions from employee requestors who may be located anywhere in the United States, including any of SGI's numerous field offices.

Corporate Purchasing's primary responsibility is to prepare Requests for Proposal, Requests for Information, and Requests for Quotation (RFPs, RFIs, and RFQs) when the complexity or dollar value warrants. Corporate Purchasing also is directly involved in supplier selection, supplier management, supplier problem resolution, make vs. buy analysis, and the processing of routine requisitions.

The following is a representative sampling of the products and services procured by Corporate Purchasing:

  • Advertising
  • Audio, video, and photo equipment and services
  • Cafeteria, catering, and vending services
  • Computer hardware, software, and peripherals
  • Construction services
  • Consulting services
  • Datacom/telecom services and equipment
  • Electrical services
  • Janitorial services
  • Landscaping services
  • Material handling equipment
  • Moving services
  • Office supplies, equipment, and furniture
  • Printing
  • Production equipment
  • Security services
  • Temporary labor

SGI Direct Purchasing

Materials that are used in SGI products are acquired in a variety of ways. The majority of materials are procured by our contract manufacturers. These companies not only buy the vast majority of the parts that go into SGI products, but they also perform the assembly and test functions for these products.

Some materials are procured directly by SGI. This procurement activity takes place in California, the Midwest, and Europe. The vast majority of supplier selection and sourcing activity is done by SGI. This activity is handled by commodity teams. These teams comprise representatives from various functional areas such as commodity management, engineering, and marketing. The commodity managers are responsible for driving the supplier selection and sourcing activities. They also drive activity for supplier management for all commodity-managed parts.

Some of the typical commodities that are managed at SGI are:

  • ASICs
  • Contract manufacturing
  • Displays
  • DRAM
  • Hard disk drives
  • Input devices
  • Microprocessors
  • PCI
  • Power supplies
  • Printed circuit boards
  • RAID
  • Removable media
  • SRAM
  • Manufacturing Procurement

SGI Outsourcing Program

SGI conducts its business efficiently by utilizing the core competencies of firms that provide such services as:

  • Contract manufacturing
  • Mailing services
  • Management of a temporary labor force
  • Moving services
  • Plant maintenance
  • Plant management
  • Receiving
  • Site logistics
  • Staffing
  • Turnkey products