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Date – July 1, 2022
Source of issue –Customer: Xylem Water Solutions
Description –
In early June 2022 we received a number of enquires from existing customers to supply Xylem Anodes according to drawing CD1872 rev3. They have snipped out reference to CAA are removed the note in the top left corner, "This drawing is the property of Cathodic Anodes Australasia. To be used with permission only".
Immediate action –14JUN22: BL informed Xylem that we would no longer supply them with anodes
Root cause –Lack of trust with customer.
Corrective action –
We informed Ryan Ray (Products and Applications Manager) that we were no longer interested in supplying these anodes. See extract from 22nd June email:
If we are successful with this quotation, it will be the last time we cast these anodes according to their current design. There are a number of reasons for our decision:
1. These anodes are very difficult and time consuming to cast. Back in 2018 when we commenced casting these custom anodes, the current design was supposed to be just a short term solution, until effective tooling could be designed and fabricated to allow for streamlined casting and better fitment to your pumps. Since 2018, CAA have proposed numerous designs, working closely with Xylem staff to come up with a solution that would be effective for both parties. On each occasion the design was halted when Xylem decided against investing in the tooling required. As a result, 4 years later we are still battling with the stop gap measures, which are no longer cost effective for CAA.
2. On multiple occasions we have requested that Xylem purchase bulk quantities of these anodes to hold in stock and use as required. We have explained the production and material sourcing issues we experience with the short production runs. We have suggested multiple alternatives, such as Xylem paying for an entire sheet of steel inserts to be guillotined and held in our stores. This would have eased some of the production issues and significantly improved manufacturing times.
It appears that none of our requests/suggestions were seriously considered.3. Recently we received RFQs and a doctored version of our CAA drawing CD1872 from various companies. We consider it a significant breach of trust that you did not seek permission to use the drawing outside of your organisation and you removed the note in the top right corner (see snip below).
For the past 4 years we have worked on numerous design options and supply solutions, which would have assisted us to supply Xylem with a better product at a cheaper price, cast in a very short time. Regrettably, we no longer feel that we can work effectively with Xylem.
Verification –N/A
Reported by –BL
Closed by –BL
Date closed –July 1, 2022