Is cheaper and faster all it’s cracked up to be?
The lower bid on manufacturing a machine does not equal quality work, so you should exercise some measure of caution. What seems like an easy, low-cost option can turn into a headache.
POOR QUALITY
Poor craftsmanship from a manufacturer will result in unexpected repairs or a reduced lifespan for your equipment if they are not a qualified company or take shortcuts to produce a low estimate.
A low-cost quote that doesn’t accurately predict the time needed to complete a quality project often results in the manufacturer taking shortcuts.
“LESS-THAN” MATERIALS
Another way to achieve a lower price is by specifying poor-quality materials. Certain machine parts may only meet minimum requirements. There are avenues where the manufacturer might be scrimping on steel, hardware, shafting, and +6motors.”
SAFETY ISSUES
Safety is a big deal. Unfortunately, when manufacturers rush to complete a job, they might not think about all the correct processes and procedures to meet.
If a manufacturer doesn’t invest in the safety of their company, employees, and clients, then the expense could be greater than the product needed.
UNEXPECTED COSTS
If the estimate doesn’t include assumptions and exclusions, you could be in for an expensive surprise in the form of changes and additional costs. Assumptions and exclusions are generally known by the manufacturing professional but not the operations/production manager. So always ask what’s not included in the proposal.
Client
Story
THE NEED:
An existing customer needed a quote on a stainless-steel mixer.
We quoted the customer on a stainless-steel mixer, and they also had another company they were not as familiar with quoting the project. However, the unknown company was slightly cheaper, and the delivery time was about 2% faster.
The customer opted to proceed with the competitor for the lower price and the earlier delivery time.
THE OUTCOME:
Scott Equipment Company followed up with the customer, even though we didn’t get the order, to ask how the new mixer was and if everything was running smoothly.
It took the customer five additional months from when they had expected the machine until it was received in-house. Unfortunately, the communication after the order was placed went downhill. The customer had difficulty communicating or getting a response from the manufacturer and probably will not do business with that company again.
THE RESULT:
The customer, at this point, could not make their product for over five months. They also had a bad customer experience with the company they chose. Finally, the communication started to cease, and they did not know where their equipment was or when they would have it installed.
What will future customer service, parts, or onsite service look like if this is the treatment during the initial process?
When working on a manufacturing project, look for a long-term partner. Professional manufacturing companies have established a reputation for quality and have years of experience to back it up. The low-bid manufacturers aren’t long-term. They tend to come and go. They get themselves in trouble and get out of business. When you need to follow up with questions or maintenance, you want to know the manufacturer you’ve hired will be there to service your needs.
Need assistance with your next manufacturing project? Check out www.scottequipment.com or give us a call at 800-254-9519.