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New Then you don't pitch yourself as experts
We sell "solutions", not technology.

We are primarily a print company, ie: junk mail.
Also, statement printing. BIG PRINTERS.
LOTS OF THEM. Football fields worth.

That is 90% of the business.

Then we have the merge/purge / data warehousing
side, the "boutique". Print customers want us
to handle their dirty data, which then feeds
more print jobs.

So we choose the appropriate technology to
do the job, not the other way around.

If THEY chose, it would be on a time and materials
basis, with no end point in sight.

If I was in your position, I would attempt to
price the 1st project in new technology so
I could afford to hire the expert, and do
joint work to enable knowledge transfer. But
you might actually price it much lower, to get
the business in a new area, which then adds to
your corp experience, which can then bid on a wider
variety of projects.
New But there may not be an 'expert'
depending on what we're doing. There is nothing equivalent to our standard machines (for hard drive head stack measurements), so all the experts are in-house people who have learned on the job. On the custom machines, it varies; some are more unique than others. It's quite possible that NONE of the companies bidding are experts at building the customer wants built.

It's also harder to judge ahead of time what will be the best approach for a given set of requirements, especially since the customer requirements sometimes changer AFTER the machine has been built.

However, there are several tactics that we do use to reduce risk. Basically, we're system integrators, putting together complete solutions (standard hardware + software components, tied together by our custom hardware and software into a complete machine).

So our vendors are a big source of help. Factory automation vendors charge a hefty premium over the cost of materials; the good ones, like Adept Robotics, provide excellent support. If we can buy a standard product to do the job, we'll do that instead of building it ourselves. And if there's a subsystem that is out of our expertise, we'll subcontract out that subsystem.

Even though we don't like it when vendors spec equipment, they can have good reasons for doing so, because they have to live with the machine, maintaining it and sometimes upgrading it (for custom machines, the cost includes the control software source). So, for example, if all the other machines in their factory use Allen-Bradley, they'll probably spec Allen-Bradley, even though A-B is several times more expensive than Automation Direct, because it saves on spare parts and their technicians already know the Allen-Bradley controllers. Or there can be regulatory reasons; A-B is qualified for use in medical systems (FDA approved), while I don't believe Automation Direct is. Of course, if we get a sales lead from a manufacturer (e.g. Adept), we have to use their equipment.

As far as being an experts, well, that does depend on the area. We are experts in metrology (because of our parent company). I'd say we're experts in certain areas of automation. If we get into an area that was close enough so we're comfortable we can do it in-house, we'll use the a combination of our learning + vendors. If it's beyond what we're comfortable with, we'll either subcontract out a subsection, hire a contractor, or hire a new employee.

Basically, our business is different from yours. In most cases, it makes more sense for us (existing engineers) to learn the new areas, rather than hiring experts. So I place a higher premium on ability to learn AND experience (and wide experience helps, too, especially during project definition).

I do agree with most of what you say, especially on topics such as knowledge transfer. It's extremely important spread knowledge around in-house so that no one is indispensable.

Tony
New I would love a time and materials no end in site gig
Those can be the best kind as long as the customer is happy with the work.
thanx,
bill
Mike Doogan
"Then there's figure skating and ice dancing and snowboarding. The winners are all chosen by judges. That's not sports. That's politics. And curling? If curling is a sport, pork rinds are a health food."
     Good news / Bad news - (broomberg) - (23)
         If I lived near there - (nking) - (22)
             Re: If I lived near there - (broomberg) - (21)
                 The big corporate screwjob? - (nking) - (17)
                     I think you need to reread Barry's post. - (Another Scott)
                     No, much simpler than that - (ben_tilly) - (15)
                         But I have always worked multi-project - (nking) - (14)
                             I think you are still missing the point - (ben_tilly)
                             No, you missed MY point - (broomberg) - (12)
                                 I like one of those points - (drewk)
                                 They do it differently - (nking) - (9)
                                     Re: Who would you rather build a house for you? - (a6l6e6x) - (8)
                                         Bad comparison - (broomberg) - (7)
                                             Re: Bad comparison. - (a6l6e6x) - (1)
                                                 Who me? - (nking)
                                             And if no one has experience with the technology? - (tonytib) - (3)
                                                 Then you don't pitch yourself as experts - (broomberg) - (2)
                                                     But there may not be an 'expert' - (tonytib)
                                                     I would love a time and materials no end in site gig - (boxley)
                                             Seen something similar - (wharris2)
                                 And if you work in-house support? - (wharris2)
                 Speaking of "reverse logic", if that last bit means... - (CRConrad) - (2)
                     ACCK!! - (broomberg)
                     That is about what happens - (nking)

That's because droids don't tear peoples arms off when they lose.
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