Plastic Industry
Communicate With Members
Benchmarking Reports
Cost Reduction Programs
Technical Support Programs
Legal Resources Program
Events Archive
Training Programs
Business & Technical Resources
HomeMembersMember CapabilitiesSponsorsCalendarMAPP OverviewPublications

MAPP Plastics Discussion Forum

The MAPP Plastic Industry Discussion Forum allows members to rapidly communicate with each other. Post both questions and answers to questions that other MAPP members have about any industry topic from material and process issues to R&E Tax Credits and other business issues.

Plastic Training
  
Plastic Industry Forum - Converse with Plastics Processing Leaders / Business / Strategy with customers taking tooling in house
Posted:  10 Mar 2009 16:50

Registered User
Currently Offline 		Posts:  14
Join Date: May 2008
I have a customer with whom I have several molds but only three have any real volume.  The customer has now requested specific tool and process information on these very three molds (virtually all of this information is in their PPAP books)since they too have excess molding capacity and want to run them in house.  Does anyone have any advice how to handle this request?
Posted:  10 Mar 2009 19:36

Registered User
Currently Offline 		Posts:  18
Join Date: May 2008
I wouldn't burn any bridges.  If they intend to bring the molds in house, they are going to do it with or without your help.  You want to make sure the molds come back to you when things pick up.  If you give them process info I would let them know that you normally don't give that info out, but our doing so to preserve the relationship.

I would let them know that these three molds constitute the majority of the volume, and without this volume you are going to have to reevaluate pricing on the other molds that you run.  Essentially, tell them the pricing that is in place is a package price which was based on the volume from these three molds.

Just my initial thoughts for what they are worth.
Posted:  16 Mar 2009 20:33

Registered User
Currently Offline 		Posts:  9
Join Date: Jul 2008
I would agree with Ohio Prec Molding on this.  Through the years we have had customers pull their tools for various reasons.  We have always bent over backwards to help make the transition as smooth as possible for the customer.  More times than not we have benefitted down the road either through tools coming back or other projects coming our way from the same customers.  Most customers appreciate integrity.
Posted:  24 Mar 2009 23:53

Registered User
Currently Offline 		Posts:  9
Join Date: Nov 2008
I would agree with OPM and SPI. Preserving the relationship might help you down the road. However, as OPM mentioned, you will have to let your customer know beforehand and in a very matter-of-fact way that their pulling the tools will force you to requote the low volume business that you have with them.
Best of luck!
Posted:  25 Mar 2009 13:56

Registered User
Currently Offline 		Posts:  16
Join Date: Nov 2008
I also agree will all above! If they gave you the work in the 1st place why bite the hand that fed you. As work picks up they will remember you and your cooperation. As well, your volumes need to reflect your pricing.

Brian J
Posted:  25 Mar 2009 14:46

Registered User
Currently Offline 		Posts:  22
Join Date: May 2008
All of the comments are good don't burn any bridges, help with transfer & look at your pricing for the lower volume jobs and be up front with your customer.

John Kelly

Sponsors



MAPP HomeForumEvents CalendarMember CapabilitiesSponsorsPublicationsJoin MAPPContact MAPP

XML RSS 2.0 XML Atom 1.0