In a nutshell, I quoted a couple parts for a new company. I typically quote what I can do them for and roll on. On this deal, I decided to quote a bit low on purpose because we cannot seem to get any aero jobs lately due to people whoring themselves. I guess I joined the list. They immediately accepted and sent me a PO. Now I am sitting here wondering if I have any leverage to adjust my numbers to at least make something on these. My concern is any deviation from my quote could piss off a new customer, however, I know from experience a "new" customer does not mean shit. They will undoubtedly send out for quotes on every part so doing this job really does not firm up any more business.

One part looks like a round disc with 4th axis rotary work where I have to drill/trap 6 holes around the part radially as well as face hogging. The other is a hog out from a 6.5x6.5x2in block. Both parts are from 6061-T6, require helicoils, and get chem filmed. 100 each so 200 parts total..We also have to model them.

I quoted low and quoted 6 weeks lead. I realize some here will just flame me for quoting it wrong but with how people are doing work for nothing, I really just wanted to see what it would take to "get" a contract. Now I have one in my lap...

You're stuffed whatever you do.

You've deliberately become their whore, so either do it and swallow the pain, or don't and piss off (IMO a worthless) potential customer.

And it continues, the race to the bottom. I quoted a job last week for a new customer, he asked if i could do any better, as his previous supplier was considerably cheaper. I said no, why do you not continue using your present supplier if you are happy with his prices? he replied that his previous supplier had gone bust,

As the saying goes, "Careful what you wish for.....you just may get it."

Looks like you got it too!

Maybe you could try calling and telling them you made a mistake in your quote and ask if there is any room for an increase.

Good Luck!
Russ

Yep, I lose business to the guys that want to take the plunge (into failure). What pisses me off more is all the vultures that are beating people up, get parts from them until they go broke, then move to the next shop... To be honest, I will not be losing on this job but I certainly feel I did not quote what I normally would... I realize it is very easy to the outsider to say "just do it" but one part has a TON of features and most are +/- .005. 6.1" OD with +/- .005. $%*&#&* Not saying I cannot hit it but by the time you add all the other features plus thermal comp, that is about a +/- .001 so about a 50% scrap rate on a 30 dollar block of Al.

I think I am venting here... I still have not called them because I am not sure what to tell them yet other than "I bet you have a smile on your face".

[QUOTE=viper;1237195]Y To be honest, I will not be losing on this job but I certainly feel I did not quote what I normally would... QUOTE]

So where's the problem, it's called being competetive.

If you're not sure how deep the puddle is.....step over it, and keep on walking!

Can you run a 15min hog out with .005" tolerances all over for 30 bucks/part?


I will make enough to pay the electric guy but that is about it..

You set the price and they agreed, sometime we win and sometimes we dont but you need to do it for the quoted price. figure out a way to make them more efficiently without spending anything and you will make more money.

To be honest...I dont know why you are complaining. You bid the job low and you knew that. Do the job as quoted and move on. I never hammer a new customer, you want them to come back dont you? I just bid pretty low on a babbit job and got the PO. I sharpened my pencil and found a cheaper babbit source and will be making $4000 extra!

Jay

How long ago did you quote this job? I know a lot of the stuff I quote, my customer gets the job based on my quote for their costs. Re-read, scratch that.

You quote it low and you know it, that's one you have to suck up, it wasn't an honest mistake. We've all done it, come in low on a few things because it seems like things are slowing down or the backlog is looking lean, and then the PO always comes when you pick up or have a huge big dollar rush job, never fails.

It doesn't sound like bottom feeder work (bottom feeder prices maybe), so they may turn out to be a good customer.

Why did they come to you and how did they find you? If it was word of mouth, and they are local, then I'd do it, offer to swing by and pick up the original PO and at least meet the QC people, see what they are like and what they expect.

If it was a new hotshoe purchasing monkey cruising the internet looking for bottom feeder prices to make himself look good, then I'd tell them to beat feet.

25 hours, 100 parts, at $120/hr, $3K total? How expensive is your electric?

You made your bed....make the parts. Learn and move on. It's as simple as that.

I just caught an honest mistake on my quote where I quoted the wrong sized billet for the job. I told them I could rebid or bow out. The new billet will be another 15 dollars. No wonder these people are excited to see me. I hate to do it but I would rather piss off a new customer than lose money right now.

This part is an aerospace part, tight controls, tight tolerance, and complex. To be honest, it is more than we typically get here because we NEVER win a bid on them.

I certainly realize it is easy to assess a job as above with 25 hrs/100 parts, 3K in the bank, etc but to be honest, I have to ask if you do aerospace??? 100% inspection, part exchange, chem film, setup, programming, part modeling, etc. You can easily take your 25 hrs X 3. Now put in something for cutters, machine wear, electric, etc and you are around 25-30/hr.

To be honest, this certainly is not a part that a new vendor usually gets because of it's complexity and I would rather not even do it because there are 100 ways to scrap it. I have not even talked to them on the phone because we get many new people sending us drawings but are either shopping for a whore or comparing to their own. Either way, I do not have enough man power to devote 8hrs/day to quoting jobs so I have to fire something off and see what happens.

It don't matter, you submitted the quote, there's no going back. if you do you look like a scumbag. If someone pulled that crap with me i'd tell them to f off and never look back. you made your bed now sleep in it.

I've made the same mistake before and i sucked it up and learned, I have'nt ever and will never go back to a customer asking for more money, ever!

x2,........ once the quotes in, it's in, your reputation hangs by it.

I liked reading some of your past post but I 'am in shock from your lack of professionalism and unethical behavior.

What's all the FUSS......???

It's YOUR business....nobody's going to shoot you if you tell the customer

"I quoted too low" or
"I goofed on the material" or
"I was drunk and accidentally clicked SEND instead of PREVIEW that evening when I sent that version with the incredibly stoopid-low price on it

There is no going back because you haven't gone forward yet.
Just tell them to cancel the PO cause you can't do it for that price.
Has that never happened in the Job Shop world before??
"We goofed, we're outta here"....sorry to waste your time.
SIMPLE!


But....quoting low then attempting to weasel a higher price looks bad.

So STOP IT....

As I mentioned, I did make an honest mistake on the billet. I was an inch off in 2 directions so that changes things quite a bit. I was going to eat the part until I saw that. We were already at insane rates. With the new billet price, I would officially be losing money and I just cannot do it.

I regret bringing this to the forum now. Just going to have to see what this customer does with this. I am honestly not as concerned about losing a new customer as I am not delivering my parts because I am downtown filing bankruptcy papers.

I see some people are questioning ethics but to be frank, all you have to do is go back in some previous threads about people being screwed in 15 different ways by customers. I am not looking to be another statistic. You would have to be blind not to see that some customers only have their pocket book in mind and could care less if you actually make a profit or not.

DKMC, honestly, our gut was to no-quote this package because of the ridiculous tolerance etc but knowing how customers put you in a certain "quote" pile based on your first bid, we decided to quote the parts anyway. Honestly, we were probably hosed any which way when I got the drawings. no-quote, low quote, high quote, all suck... One part is worth doing, the other has a 2in tall wall that is .080" thick. What fun.... I would be happier to just not do the part.

There is your out that will let you sleep at night(that's not sarcastic).

On the whoring thing, I've noticed I can't compete for crap on 90% of aluminum jobs. The funny thing is the ones I do get are the block or plate with a few holes with tape measure tolerances, and I make good money on them.