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Want Accurate Quotes? Avoid RFQs for Prototype and Production at the Same Time
When you’re requesting a quote for a prototype part, you may be tempted to ask your machine shop to provide a production quote simultaneously. Understandably, it can be helpful to know the cost of manufacturing larger quantities up front. But there’s one small (but often costly) problem:
When you’re requesting a quote for a prototype part, you may be tempted to ask your machine shop to provide a production quote simultaneously. Understandably, it can be helpful to know the cost of manufacturing larger quantities up front. But there’s one small (but often costly) problem:
It’s virtually impossible for manufacturers to accurately quote production before building a prototype.
In fact, when machine shops delay quoting production volumes until after a prototype has been made, customers typically get the benefits of faster lead times and lower costs.
The Disadvantages of Quoting Prototype and Production Simultaneously
The bottom line is that it’s already challenging for manufacturers to estimate the cost of a part that they haven’t made before—and almost impossible to tell how the price will vary if we’re making 1,000 of that same part. When we quote a prototype part for the first time, we’re inevitably making educated assumptions about setup time, run time, inspection time, outside processing, and other factors that impact the end estimate.
While these assumptions are to be expected for a prototype quote, our goal is to have as much information as possible before giving our customers a production quote. Quoting prototype and production simultaneously increases the likelihood of receiving an inaccurate production quote:
More often than not, the production quote is too high, because anytime a machine shop makes educated assumptions, they need to estimate conservatively
If for any reason the quote is too low, the shop will have to revise for production volumes and provide a new quote anyway
However, once we’ve built a prototype part, we have a much better idea of the cost that goes into making that part. And chances are we’ll have identified areas where we can improve efficiency and save you money on production runs.
The Best Way to Quote Prototype and Production
At Focused on Machining, we’re committed to efficiency and accuracy—not only in the parts we build, but in the quotes we provide to our valued customers.
Instead of rushing to put a production quote on paper immediately, your best bet is to let us get to work on the prototype first. We want to turn around your prototype parts as soon as possible. You’ll have your prototype in 2-3 weeks for testing; and once we know how to make it, we’ll provide you with an extremely detailed production quote.
In other words, you’ll only have to wait a few weeks to receive your production quote, and you’ll know that the quote you get is extremely accurate (and may even save you money).
We do recommend that you tell us up front if you want a production quote—even though we won’t provide it immediately. If we know that you plan to order hundreds of parts following the prototype, we’ll be on the lookout for ways to streamline our processes specifically for production, resulting in shorter lead times and lower costs for you.
If you need to get parts quoted for prototype, production, or both, turn to a trusted machine shop like Focused on Machining in Denver, CO that prioritizes accuracy and precision every step of the way. Request a quote today.
The Value of Working with an ISO-Certified Machine Shop
If you’re looking to get the most value out of a machine shop vendor—everything from quality and efficiency to traceability and documentation—your best bet is to select a machine shop that’s ISO-certified. Even if your industry doesn’t require it.
If you’re looking to get the most value out of a machine shop vendor—everything from quality and efficiency to traceability and documentation—your best bet is to select a machine shop that’s ISO-certified. Even if your industry doesn’t require it.
ISO certification is the difference between working with a shop that flies by the seat of its pants and one that has a clear set of documented procedures to satisfy the highest possible industry standards.
And if you’re thinking that this means paying more for a part, think again. Yes, it’s true that many ISO-certified manufacturers charge extra. But our Denver machine shop’s philosophy is that ISO certification shouldn’t come at any additional expense to customers.
So whether you’re in an industry like defense where material traceability is essential, or a different commercial industry where standards aren’t as strict, you’ll benefit from Focused on Machining’s integrated ISO process.
What is an ISO Certification?
An ISO certification ensures that a machine shop has developed, implemented, and maintains a quality management system conforming to a set of requirements defined by International Standards.
Focused on Machining is ISO 9001:2015 certified to provide manufactured components, which means that we:
Develop and document all processes
Provide traceability for materials and processes
Regularly self-audit and submit to external audits.
View or download our ISO certification here.
The documentation process that ISO-certified shops must follow creates standard procedures for key tasks involved in completing a manufacturing project. It makes each of the following processes easily repeatable with the goal of improving quality and efficiency:
Quoting
Ordering and receiving materials
Production
Quality assurance
Shipping
How We Run an Efficient ISO Process to Reduce Customer Costs
Although ISO requirements are strict, the reality is that implementation is often messy and time-consuming. Paper folders and handwritten information will satisfy documentation requirements, but they aren’t exactly a model of efficiency. And yet that’s how many shops are still handling ISO implementation.
The big thing that sets our ISO process apart from other Colorado machine shops—and helps us keep costs down—is that we do everything digitally.
Our ISO checklist is embedded into the software we use. Digitally automating the ISO process takes the burden off our plates so that we can focus our time and resources elsewhere. Everything is accounted for, including:
Customer orders and quoting. When you request a quote, all data uploaded is secure and encrypted. It’s stored on servers designed to host sensitive data, regulated workloads, and address the most stringent U.S. government security and compliance requirements.
Manufacturing parts. We build parts digitally and store all relevant information in one place: customer data, materials we need to order, outside processes, and anything the machinists need to know. Our digital briefs replicate information automatically in the case of repeat production.
Inspection. We upload inspection results directly into our digital system. If you have an issue with a part down the road, we can go back years to provide any documentation you may need. All documentation is broken down into two pages for ultimate convenience and simplicity.
Benefits of Choosing an ISO-Certified Manufacturer (Even If You Don’t Need Documentation)
Simply put, ISO-certified manufacturers adhere to the highest possible standards. And since our streamlined system helps us reduce costs, we can offer our customers more for their dollar than other machine shops in Colorado.
Whether you need documentation or not, you’ll enjoy these benefits when you work with Focused on Machining:
Advanced traceability. Traceability may only be essential for industries like defense and aerospace, but it’s still valuable in other commercial industries. We recently had a food and beverage customer ask about plating and material makeup for their parts. Thanks to our ISO process, we were able to easily pull up documentation and provide full traceability.
Lower risk. Since everything we do is process-driven, there’s a lot less room for error. You can trust us to get your quote right and deliver parts on time because we keep everything well-organized in our digital system.
Better customer service. Our efficient processes free us up to focus on what matters most: manufacturing high-quality parts to satisfy our customers. And if there’s ever an issue, we can troubleshoot it quickly and easily.
Next time you need a new part, Focused on Machining can provide you with exceptional results you won’t get anywhere else. Request a quote using our secure part upload form and we’ll respond within 24 hours.
Decrease the Cost of Manufacturing Your Part By Up to 50%
It’s no secret that one of the biggest factors in choosing a manufacturer is price. Engineers and buyers want low-cost parts (although a low-quality part has no value at all, regardless of the price). Manufacturers want to quote low enough to acquire the customer, but not so low that their business model doesn’t work.
Inside Tips on Negotiating with Your Manufacturer
It’s no secret that one of the biggest factors in choosing a manufacturer is price. Engineers and buyers want low-cost parts (although a low-quality part has no value at all, regardless of the price). Manufacturers want to quote low enough to acquire the customer, but not so low that their business model doesn’t work.
Instead of shopping around for a rock bottom price and taking a risk on quality, talk to your manufacturer about how to decrease the price of your part. At Focused on Machining, we often work with our customers on price, especially if they’re investing in a long-term relationship with us. And a win-win-makes everybody happy.
One of the best ways to get a better deal on your part is to tell your manufacturer if you plan on repeat production. If you need parts a few times a year, even at a relatively low volume (as low as 10 pieces), a smart manufacturer should be willing to reduce the price—and if they don’t, come and talk to this Colorado machine shop instead. :)
How Repeat Production can Decrease Cost
I’m pulling back the curtain on our business to show you why our Denver machine shop is willing to reduce our prices for repeat production:
Programming, modeling, and set up leverage. We can spread out our engineering costs over more parts and a longer period of time. The expense of initial setup and machine programming is a lot cheaper when it’s spread out over 100 parts instead of 10. And once you perfect the setup and programming, subsequent part runs are much less labor-intensive.
Recurring revenue covers reduced shop rates. Who doesn’t love recurring revenue? If our shop can count on regular orders from your company, we can work with you to reduce rates. That’s revenue we didn’t have to generate by finding new customers, putting out new quotes, and designing setups for new parts.
Vendors often offer discounts on bulk or repeat orders. We have great vendors who work with us to offer discounts on materials and finishes for large orders or recurring revenue (I told you everybody loves it). We can pass those savings directly on to our customers.
Repeat production = stronger relationships. At Focused on Machining, we’re dedicated to building long-term relationships with our customers. Practically, client retention makes good business sense. But it’s more than practicality: we want to be your very own, go-to Colorado CNC machine shop—your source for manufacturing—and we do that working with our customers whenever possible.
Case Study
This is a real quote we submitted to one of our customers. When they told us they were doing repeat production and wanted to work with us, we were able to offer them a cost reduction of over 50% per piece.
If you’re submitting an RFQ for a part that will be produced more than once, don’t forget to mention repeat production! A manufacturer who really wants to partner with their customers should be willing to work with you on price.
Even better, save the hassle and reach out to us for your next repeat production job. We’ll work with you to find the best price without compromising lead time or quality.
Quotes that custom machined part buyers can depend on
When I bought Focused on Machining, one of the first things that I was going to update was our ability to quote parts faster and better than any of my competition.
When I bought Focused on Machining, one of the first things that I was going to update was our ability to quote parts faster and better than any of my competition. One of the biggest issues that most machine shops have is that one person does all the quoting. That can be scary for shops that have may have an employee on the brink of retirement with the only institutional knowledge of quoting every job that comes in. Scaling this business and understanding that our customers deserve better service was and still is a big goal of mine. As I researched companies that could help with this, I came across Paperless Parts, who has become one of our best business partners.
Paperless Parts Quoting Platform
We turn quotes around in 12-24 hours, which was largely unheard of even just a few years back in the manufacturing industry. We can also view a 3D model of the quote which we would have never been able to do before. On-time delivery is one of our core values - using this quoting software ensures that we stick to our schedule for important parts that our customers are depending on in order to be successful at their job. The back and forth on part questions and specifications between us and our customers has been cut dramatically (roughly 75%) and our internal communication has become more efficient. The software has a fantastic internal communication tool. Our customers have noticed the difference, too. Recently, one of them let me know that they had sent out a quote to 3 shops and not only did our quote come in at the best price but it also had the least amount of follow-up questions. Our specifications were spot on which also saved our customers time.
Our partnership with Paperless Parts has not only taken our business to the next level in differentiating ourselves from our competition but more importantly, has ensured that our customers always get the most accurate quote, FAST!
Justin Quinn, President
Investing in Machinery & People will Pay Dividends Back!
If you’re like me, I’m constantly thinking of how I can increase business, improve efficiency, and keep my employee morale up.
If you’re like me, I’m constantly thinking of how I can increase business, improve efficiency, and keep my employee morale up. We’ve had a crazy past few weeks here between our new machine, a day of off-site employee training, and gearing up my two girls to get back to school. We are finally starting to make chips on our new Doosan and I’m thrilled with how all our employees haven’t skipped a beat! For all of you who have installed new machines, you know what I mean. Between late nights and short fire drills, we are getting back into our rhythm and I’m excited for new opportunities at Focused on Machining (FOM).
As a business owner, investing in new equipment and my employees are two of my top priorities. For us to continue to be one of the best Colorado machine shops, I know these two things go hand in hand and our success depends on it. As we continue to build FOM and increase our machining and CNC capabilities, we are also doing some employee training which will increase shop efficiency, communication, and productivity. I’m so proud of the work this team has accomplished over the past month both in the shop and out of it. We recently took some of our employees off-site for a development day. It was great to connect with them in a setting that was different than the shop.
We are already seeing the benefits of the team building and managerial training we did. Sessions like the one we had are so important to building a team we can all trust & depend on.
While I’m ranting on about professional development, I hope many of you will check out the Rocky Mountain Tooling & Machining (RMTMA) Fall Conference that is happening at the Hartwig Facility on Thursday, October 8. The RMTMA board has worked hard to bring you some great sessions that would benefit a novice machinist to the experienced CEO. You can attend in person or join us virtually. Check out RMTMA.org for more details.
Keep investing in your shop & people!
Justin Quinn, President
Managing Family Time While Running a Machine Shop During COVID-19
In our new world where many of us in manufacturing are considered essential and critical, how are you and your family making it work? Are your kids going back to school? What does that look like?
In our new world where many of us in manufacturing are considered essential and critical, how are you and your family making it work? Are your kids going back to school? What does that look like? Are they wearing masks, are they social distancing? If you have young children as I do, I think we can agree that very few understand social distancing. As my wife gets her classroom ready for 20 kindergartners (she’s doing God’s work), I can’t help but wonder what safety protocols will be instituted with such young children.
There are a ton of articles about work-life balance and how important it is to find this middle ground. With that, what does work/life balance look like during COVID-19 with so many people working from home with kids of all ages? My team and I are still at the shop every day but I know many friends and colleagues that are at home who may be experiencing a less than balanced life right now when work and family time collide in the same dwelling. In a world where we are supposed to be on and available all the time- how do we consistently try and separate the two?
To help combat some of these issues, my family and I have made it a point that our evenings will be spent together with little to no shop talk. My two daughters greet me at the door every evening with cheers and squealing, it’s my favorite time of day. The challenge for me is to be done with work at that point in time and focus on those two immediately and fully. They have so much to share about their day, what game they’re playing, or what new toy they got. I find it is extremely important to fully absorb into their world for some time and just be with them without any distractions. Quality over quantity is my motto for weekend time. As a business owner, the work will always be there, and being available sometimes means 24/7- especially over the last few weeks while we’ve been installing our new Doosan NHP 4000. With that said, I’ve found that I can make some great connections with my family if I put my phone away for an hour or so and have some clear and honest expectations that I have to be available at times I may not want to be.
With COVID still impacting our lives, we’d love to hear from our friends and customers on how you continue to deal with what we all probably thought would be over by now. Be well and stay healthy.
Justin Quinn, President