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Thread: Small production run parts

  1. #1

    Small production run parts

    When doing small production runs (200 pcs) engraving on parts for customers. How do you handle scrap/errors. Do you tell the customer that for 200 pcs that a percentage may be scrap? I have engraved a fair number of parts for this customer but occasionally I make a error on a part. The part costs me about 8 times my piece charge to have the anodize stripped off and re-anodized to fix my error. What is the best practice to handle this?
    Trotec Speedy 360 80 watt laser
    Custom CNC router 4' x 5'
    GrapthTec FC7000-75 vinyl cutter
    Keiling KL6090S CNC router
    Ricoh SG3100DN sublimation printer

  2. #2
    Join Date
    Oct 2014
    Location
    Cleveland OH
    Posts
    195
    Rich,

    You state you have done a fair amount of these - Whats your percent error ??? Whats the cost to refinish the item ??
    Add your percent error to the cost of the job and your all set. We normally add 15% to our materiel cost when cutting because you cant use every square inch and a few part will come out bad its going to happen, you just have to account for it.

    Quick Example : Run of 100 - Cost per item $1
    On a run of 100 you mess up 5 parts - 5% error
    Each part cost $8 to refinish ($8x5 = $40)
    Total job cost = 100 x $1 + 5 x $8 = $140
    New Item cost to charge your customer = $1.40

    The worst thing to do is not account for error and cut your margins back because of bad product.
    If they dont want to pay the extra explain to them youll need 5% more product to complete the job.
    Last edited by Robert Bonenfant; 07-10-2017 at 1:41 PM.
    3X Camfive 1200 48" x 24" 100watt Tube
    Zcorp 450 3d Printer
    Laguna Smartshop 2 - 4x8 ATC

  3. #3
    I'd ask the customer to provided spares to meet the full 200 piece order in case of errors.

    -John
    Red Bolt Laser Engraving
    Houston, Texas

  4. #4
    Join Date
    Jul 2005
    Location
    Sammamish, WA
    Posts
    7,630
    Quote Originally Posted by John Kleiber View Post
    I'd ask the customer to provided spares to meet the full 200 piece order in case of errors.

    -John
    When they provide the material, that's what I do. On one job, for example, it takes 36 sheets of material to cut their 2,000 parts, so I have them send me 40. Usually I have little or no waste so accumulate the extras in case of a major problem, since they order 2-3 times a year.



    Sammamish, WA

    Epilog Legend 24TT 45W, had a sign business for 17 years, now just doing laser work on the side.

    "One only needs two tools in life: WD-40 to make things go, and duct tape to make them stop." G. Weilacher

    "The handyman's secret weapon - Duct Tape" R. Green

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