With more and more suppliers becoming more competitively priced, pressures to use lower cost parts are rising. Keeping the following factors in mind when analyzing cost-competitive solutions can help suppliers manage the balance of the overall product in terms of quality, manufacturability, reliable delivery, and customer experience.
Several Factors Affecting Metal Stamping Prices
There are many factors that affect the price of a precision metal stamping.
Part tolerance increases the overall cost of the part as it becomes tighter
The best material for manufacturability and product environment
The number of parts to be produced per minute
Minimum order quantities and total annual production quantity
The configuration of the part
Packaging and shipping requirements
Managing Costs as a Team
Often times, the OEM’s supplier can help them improve costs by bringing their expertise to the table. The earlier the metal stamper is involved in the part design process, the more likely the stamper will be able to provide their insights to enhance the part design. A useful question to think about when picking a stamper is whether or not the stamper provides input to the part design to improve cost and manufacturability.
Manufacturers want stampers to respond to urgent RFQs quickly, but stampers need to understand more than what the manufacturer’s part print can convey in order to quote the best and most accurate price. A good stamper will want to examine the part design to see if it can be improved to make it more manufacturable and less expensive to produce and assemble. Metal stamping engineers often share their expertise upfront in the bidding process without the guarantee that they will win the bid and receive the project.
Many times the best price is not necessarily based on the original part specifications provided. OEMs need to allow stampers time to review the original specifications and give their input. Often, cost savings can be achieved through a modified design. These collaborative activities can not only help manage the prices OEMs pay for metal stamping, but can yield long lasting mutual benefits for both the OEM and the supplier.