In an effort to diversify and continue to thrive in today’s market, Montesino International has undergone major infrastructure changes in company ownership and management, and is firming up plans for the future of its manufacturing and distribution facilities, which service the needs of 300+ retail clients, as well as preparing for the launch of a co-op manufacturing strategy.
Mitchell Ousley, a partner since 2004, has successfully won his bid for sole ownership of both companies, Montesino USA and Montesino International as of September first 2008, and plans to continue with the base of operations in the Ft. Lauderdale offices.
With the volatility in today’s metals markets, Ousley says that the company will now be even further prepared to meet the challenges that face today’s retailers concerning a major shift from all gold jewelry to mixed metals and silver.
The company has completed a complex program for costing, wholesale pricing and accounting that has been specifically tailored to the Dominican Republic (DR) facility and implemented by a team of management and outside contractors, which provides instant real time raw material and labor controls, as well as addressing the flow of the manufacturing facility production floor.
The new controls were also brought online in preparation for the beginning of an overseas manufacturing co-op that will be offering 8-10 co-op memberships for mid volume manufacturers who may be interested in developing sterling, mixed metal or gold lines with a more reasonable labor rate, or high volume retailers that want custom or signature lines, and will help both types of businesses better control the increasing costs of their product.
By limiting the number of memberships, Ousley and the co-op management teams, in both the DR and Florida, will be devoting the majority of the DR facility to the specific needs of the members and their product lines.
The joining of successful businesses under a co-op manufacturing umbrella, with a focus on lowering overhead, will help to insure that the participating members will have access to lower cost labor as well as lowering their amount of time dealing with multiple suppliers of goods and labor. Taking advantage of higher volume material buying opportunities, pre-pay or early pay discounts, having more control of specific manufacturing techniques and sharing in the strength of a well run and reputable overseas manufacturing business, with easy communication abilities are all benefits of this co-op philosophy.
The company’s retail customers will also see benefits in the coming months and years as well, by seeing a decrease in the wholesale cost of the very successful Caribbean and Destination™ Bracelet lines, due to higher production numbers achieved in the factory which will decrease the per piece labor rate applied to wholesale pricing.
Ousley and his staff of 60+ are offering a “community of success” style of business, which will no doubt enhance the lives of all involved, as jewelers strive to succeed in their chosen business environments.
The members of the co-op as well as the founders, will share not only in monetary benefit, but will also know that they are exponentially providing financial security and many other benefits to others working together as a group within this “community of success.”
Mitchell Ousley will be glad to answer any questions you may have regarding co-op membership, and financing through Regions Bank is also available for the membership fee. “Go ahead and make the call, a good idea is quickly noticed,” says Ousley. For more information please call 954-767-6185.