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5 Signs A Metal Manufacturer Is Right For Your OEM: Part 2

October 23, 2015

When you partner with a metal fabricator, profitability goals should drive your partner to help you save on costs wherever possible. For example, your metal fabrication budget probably doesn’t allow a lot of room for extra shipping charges or high material prices.

You need a fabrication partner that reduces these costs by minimizing defective parts and leveraging other clients’ demands, so you get the best material prices. Is your partner doing everything it takes to help you increase revenue?

In installment two of this three-part blog series, learn about two signs you’re partnered with the right metal fabricator.

Your Metal Manufacturer Never Sends Defective Parts

It’s difficult to detect an improperly made part until you use it. When your metal fabrication partner makes a mistake, just think about all the stages of production you go through before discovering you’re unable to use the defective custom metal fabrications.

Not only are you caught off guard by defective parts, but you also waste a huge amount of time. After all, you must send the parts back to your fabricator and wait for new parts to come in.

Don’t forget to count the time you spend inspecting parts yourself, collecting all the defects and scheduling a shipment. You have to wait even longer to receive your new parts if your partner doesn’t keep extra inventory in stock.

Your OEM metal fabricator should take the following steps to ensure defective parts never reach your facility:

  • Methodically inspect all parts for defects
  • Foster a culture of improvement
  • Push themselves to be meticulous in delivering parts faster

When you receive a consistent delivery of quality parts, your production stays on track. Your employees will thank you for reducing overtime, and your budget improves when you’re able to conserve resources.

Your Partner Helps You Identify Cost-Saving Opportunities

While you are the expert in most areas of your business, a contract metal fabricator is more knowledgeable about reducing your metal fabrication costs. If you’re looking for ways to improve your margins and meet budget goals, you should be able to rely on your partner for guidance.

Look for a partner that conducts annual or biannual audits to help you identify how to make your metal fabrication more cost-efficient. Your partner should always be optimizing its production with your budget in mind.

It’s a sign you’re working with the right partner if your OEM metal fabricator uses the following cost-control planning techniques:

  • Offers solutions to streamline production
  • Implements shipping, material and production efficiencies
  • Identifies cost-saving opportunities outside of production

Your partner may even share fixed costs with you, eliminating the need for capital investments and reducing your raw material usage. Make sure your partner is not simply suggesting changes here and there – cost savings should be a primary focus.

If your current partner lacks the initiative to minimize defective parts and identify cost-saving opportunities, it may be time to find a metal fabricator with your best interests in mind. A partner with the right infrastructure is able to grow with your OEM business, meeting increased demand as you gain customers and net higher profits.

Don’t miss out on the rest of this series. Learn more about other signs that your metal fabricator is the right partner.