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Risks of ‘Quote and Go’

Quote-and-go
A huge number of contract manufacturers push instant quotes as a key selling point, but while ‘quote and go’ can be quick and convenient, it can also have its downsides.

Building a manufacturing client-supplier relationship based on price points alone can be hazardous (see Outsourcing 101: the right relationship); unlike a vendor-buyer relationship, any problems not identified at the start can have huge implications on the full production line. With sheet metal components, particularly, full confidence in the supplier’s understanding of the brief is essential. A simple quote-and-go process rarely provides that assurance and can lead to delays later on.

Pricing structure
Although competitive pricing is the main hook of the ‘quote and go’ approach, it isn’t always as simple as it seems. A cost based on one initial estimate can fail to take into account the full scope of the project, and any discrepancies in the product pricing structure can become obscured without proper communication at an early stage.

Some outsource manufacturers fail to provide a full breakdown of the costs incorporated into the quote, leaving you to guess how much of a good deal you are actually getting.

Supply Chain
Every supply chain is different, but contract manufacturers who offer quote-and-go often fail to recognise the extent of these differences. This can result in complications further along the process, as issues with inventory management, buffering protocols, purchase order management and delivery schedules arise.

For a more reliable quote, look for suppliers who offer a thorough breakdown of their supply chain management, and make sure that their processes fit with your supply chain demands.

Quality
Accepting a quote without seeing a prototype of your product is always risky, regardless of any quality guarantees included in your quotation. Even with a quality guarantee, once production has started, any problems with the product discovered on delivery can cause costly delays to the rest of your production.

That’s why Steelplan Products launched the Blueprint scheme. We believe our clients should have full confidence in their supply chain, which is why we offer every new customer the opportunity to trial our services, without affecting existing production.

Our team provide an initial estimate broken down into quantity price breaks (where appropriate) before manufacturing a fully finished prototype. We can then refine this prototype until you are completely satisfied, before making a detailed quotation that leaves nothing to guesswork.

To find out more visit www.steelplanp.com/blueprint.php or call us on 01442 248 565.

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