Hi, welcome …
As mentioned in the previous post, today I will tell you the experience of a couple of days ago between Me, my client and his mechanical components supplier.
In the morning I receive by mail an Request For Price for mechanical components made in brass.
Basically, it was a nut with an internal thread, a front throat and a square outside by extracting with rotating tools or with a work center.
Surely the use of driven tools proved to be the best solution.
Yes, it was a mechanical components quite expensive……
I start, as per procedure, to ask for an offer for the material, I do the calculation of production times, study the best method of packing (brass is a soft material so you have to avoid him any kind of impact), the control plan etc…. etc….
Once I got into possession all the data needed, I make my offer and send it to my client with attached the proposed control plane and sheet of technical analysis. As per procedure.
The next day, my client calls me. .. And here the problems begin. for him….
Because for him??
You continue reading … You’ll find out very soon …
My client “Hi Eric, I’m George (fantasy name)”
I “Hello George, how are you? Do you receive the offer for those mechanical components? “
My client “Alright thanks, I received, but there is a problem.”
I “what happened?”
My client “The problem is that your price for those mechanical components is exactly twice as much as I can spend … Do you Wrong something? “
I “I don’t think …It seems strange to me. … If you have a moment of time we check it together “
My client “fine thanks”
I “then the price of material is X and the raw material weighs is Y. … George …. You have a big problem. “
I finish the transcription of dialogue to avoid boring you …
Let’s explore together what I encountered with my client on those mechanical components …
After a first rough calculation, we have found that the price that my client paid to the previous supplier wasn’t even enough to cover the purchase of raw material and to pay the transport.
Unfortunately my client, to make the offer to the end user, it was based on that price.
Obviously its supplier, produced a couple of times the mechanical components in brass, has noticed that the price was incorrect and, simply, told to my client that he would no longer machined those products.
Rough ride for my client …
What solutions he could have?
- Turn the price increase (twice) to the end user.
- Stop the delivery to the end customer.
- Find another incompetent that produced those mechanical components at the same price than before.
Unfortunately my client could not take any of these roads.
- If he had doubled the price to the end user, you looked like an incompetent and his credibility would suffer a fatal blow.
- If he had stopped providing those mechanical parts, he would have brought trouble the end user, thus compromising irreparably relationship built over the years.
- If he could find another incompetent supplier who built those mechanical components at the same price as before, he would only postpone problems.
Obviously I couldn’t helping him in that situation.
Taken from despondency and pressed from deliveries that were increasingly pressing asked the question … “What do I do now?”
I honestly have not found an answer to this question … It’s an embarrassing situation …
Create a client and build a relationship of respect and trust over the years is a job that requires time, dedication, passion and effort….
It’s crazy to think of throwing it all away for an error. Yes because it was indeed a mistake.
For my part, since we have been working for more than 10 years, I’ve advised him to be honest, transparent and pay the difference in price.
I would have done so.
I would have simply said “look, I was wrong to evaluate a supplier that has proven absolutely unreliable, I continue to give you the pieces until you find some other suppliers that will produce those mechanical components at the price that you want. Unfortunately I can only offer to you the price X “
At the moment I have no idea which way my client decided to follow, but I’m sure of his integrity, his honesty and passion that he has for this kind of work, I am sure that he will have made a responsible choice.
This type of problem is increasingly common and a careful analysis may help you to preserve your reputation with your customers.
My casuistry that comes from time spent in this area, tells me that in periods when there is little work, some manufacturers of mechanical components working at a loss cost.
Unfortunately, for their customers, as soon as the workload increases slightly, these suppliers are pushing on the work better paid, requesting disproportionate increases or even reject the new productions of those mechanical parts they had acquired at low cost.
Sure that their reputation collapsing, but to those who manage a company in this way certainly is of little importance.
The real problem is when unluckily we understood between you … You do things with care and dedication…….
Loss of reputation scares you. … Because you are aware that without a good reputation your business strategy loses its effectiveness in portrait mode.
Also consider the time wasted, so money, that my client had to spend to solve a problem that had not created him.
Consider the State of anxiety and agitation of my client, nervousness, anger …
If you are reading this blog is because you are, first of all, an enthusiast of matter …. And for this reason, regardless of whether you decide to contact me, I wish you the best.
What is certain is that if you decide to contact me instead of another one I would be very grateful …
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