Shops that are used to high-volume manufacturing, making the same part over and over, or making specialized equipment, might find the transition a little more challenging, he adds.
“Many of our customers want to be a part of the solution, so they’re trying to take existing equipment and retool in order to go into medical manufacturing or other essential manufacturing,” Mudge says.
Communication, Flexibility and Automation in Manufacturing
Jason Ray, CEO and co-founder of Paperless Parts, a Boston-based software startup focused on the manufacturing sector, reckons the current broken supply chain can present a good opportunity for shops looking to break into new markets.
Ray stresses that to successfully pivot, shops must improve their communications with potential customers by making their technical capabilities clear on their websites and by letting industry players know they are actively looking for new business.
He also emphasizes the importance of understanding opportunity cost and the need to respond quickly.
“Suppose you have a large OEM that’s buying parts for making ventilators with some of their supply chain coming from China and now they can't get those components,” he says.
“With an assembly line sitting still waiting for a part, even if that part costs only $1, that could be tens of thousands of dollars of lost productivity,” he adds. “That's what people are experiencing right now on the buyer side of the table, and that's what shops can take advantage of.”
Ray counsels shops to let buyers know that they can deliver parts quickly—say, just the first 50 components—so production isn’t stalled waiting for a full order.
“Communicating those things to potential buyers is crucial, because every minute that goes by is costing them money,” he says.
In this high-pressure climate, a shop that wants to bid on a job for ventilator parts needs answers from its suppliers fast.
“A lot of shops forget that this is a partnership that you're establishing with that quote,” Ray says. “If it takes five days to respond to a quote, how can they expect that you're going to be able to return those parts in a timely fashion?”
Help for Shops Looking to Switch Gears to Essential Manufacturers
Shops looking to switch gears to provide parts for essential manufacturing can find help in a number of places.
Since the start of the pandemic and the call for ventilators and other essential equipment, Kennametal has established a new Online Sales and Application Support page through which the company has been able to help many shops pivot to manufacturing ventilator parts, as well as a few injection molds (see sidebar).
“If a shop is making a complete conversion from producing one component to something they haven't made before, our advanced solution engineers can help with the whole process to provide a complete solution,” Mudge says.
Customers can upload part prints to the portal and get fast feedback and prioritized support for essential manufacturing projects.
Mudge says he is most successful when helping customers switch when he can form a collaborative team with them—not just applying the tools, but also making sure that they have the part quality, cycle time and the overall costs that will allow them to breach profitability levels.
“Once we have a good understanding of the job criteria, we can develop their process, select the tooling, provide the application ranges, the speeds and the feeds, and deliver a complete package back to the customer, who can take it and go right into production,” he adds.
Achieving Positive Results from a Pivot to Essential Manufacturing
Mudge points to one customer that achieved positive results from a manufacturing pivot.
The company in question produced automotive components and wanted to start manufacturing ventilator components, and so asked for help with putting together machining solutions.
“We were able to quickly pull together a team from across our advanced engineering solutions, project engineering, manufacturing and product engineers, and work collaboratively to get a recommended solution to the customer in 24 hours,” Mudge says.
“Then, once they agreed to the approach, we were able to supply several tools for the job, including both customs and standard end mills, shipping them to the customer within a week, and they're making parts now,” he adds.
Mudge says he is really proud of the speed with which his customers have responded to the nation’s critical need for medical parts.
“Our employees are super excited and proud to be supporting these efforts at pivoting manufacturing to support the COVID-19 fight,” he says.
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25Definitely a good approach. Thanks for commenting, Jim!
25With reduced spending and plummeting oil prices, how soon the manufacturing companies can bounce back depends on government spending and also how individual companies adapt to the challenges. Here is a quick overview of the impact and potential trends in manufacturing post the crisis and how partnering with trusted digital transformation services can help.
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