More Than a Supplier: Allow CAMM Metals to Be Your Manufacturing Resource
When it comes down to it, manufacturing is a highly complex industry that involves countless behind-the-scenes processes with direct impacts on pricing and lead times. Because of how inherently complicated our trade is, we aren’t surprised when purchasers approach us for clarifications and explanations regarding our precision fabrication services.
Here are the two most common questions:
How does order volume impact pricing?
How does volume impact lead time?
To bridge the gap for our customers, we’ve taken on the role of a manufacturing resource—not just a metal fabrication supplier—open to educating, collaborating, and ensuring the outcomes we provide are aligned with our customers’ precise needs.
Let’s explore some nuances that require clarification and transparency from your manufacturing partner.
Quantity vs. Cost
Let’s start by answering the first common question: How does order volume impact pricing?
When our team quotes orders, we base them on tangible factors like setup times, raw material procurement, and fabrication shop capacity. Here’s how these elements affect pricing:
Setup Times
Preparing machines and processes for production takes time. Because time is considered in our costs, we factor setup times into each quote, whether we’re making 10 parts or 200 parts. Because larger quantities help distribute this cost, the cost-per-part on larger orders is typically lower.
For instance, a 100-minute setup time distributed across 10 parts averages out to 10 minutes of setup per part, whereas the same setup time for 200 parts becomes 30 seconds per part—a substantial difference when factoring cost-per-part.
100 minutes ÷ 10 parts = 10-minute setup time per part
100 minutes ÷ 200 parts = 30-second setup time per part = lower cost-per-part
This significant difference demonstrates why larger orders typically have a lower cost-per-part.
Raw Materials
Buying larger quantities of materials usually yields lower cost-per-part. When we order one sheet of material from our supplier, this quantity typically incurs the same delivery fees as when we order ten sheets, making bulk purchases more cost-effective.
Outside Services
Processes we outsource from our strong vendor network, such as powder coating and plating, have setup times and delivery fees that vary depending on the quantity.
These are just a few examples of the many variables we consider when pricing and scheduling orders. When other factors are involved, we’re happy to discuss their implications on timing and cost.
Quantity vs. Lead Time
Quantity doesn’t just affect pricing—it also impacts lead times. At CAMM Metals, we quote lead times based on our shop’s capacity and backlog at that exact moment. However, our workload can change quickly in our fast-paced environment. So when customers place an order for laser cutting services or sheet metal fabrication projects based on a quote they received months ago, there’s a possibility that lead times have changed based on our backlog at the time the order is placed.
For that reason, we encourage our customers to stay in touch with us. A quick phone call can clarify details so we can plan most effectively. For instance:
Partial Deliveries: If you require 50 parts but only need 10 immediately, our team can explore options like partial deliveries to help you meet your timeline.
Adjusted Lead Times: If your quoted lead time no longer aligns with your current needs, a clarifying discussion with our team can help us adjust wherever possible.
Simplify Your Buying Process with a Trusted Manufacturing Resource
At CAMM Metals, we understand that not every buyer is a manufacturing expert. Their expertise involves securing the right price, quality, and quantity—and selecting the right manufacturing partner to make that happen.
That’s why we’re eager to be your trusted manufacturing resource by educating and communicating with our customers. By being transparent about our processes and limitations, we successfully help our customers understand how their decisions impact pricing and lead times; this shared understanding ensures we’re aligned in delivering the best outcomes.
Essentially, we want to yield results that make our customers’ buyers glad they chose to partner with us. Whether that means delivering high-quality custom fabricated components on time, staying within budget, providing crucial insight, or all of the above, we’re here to support our customers every step of the way.
Ready to partner with a true manufacturing resource? Request a quote from CAMM Metals!