Value Engineering and the Price of Steel
9th March 2017 | Articles
For some Value Engineering can be difficult to define. For some, but not for us.
Value engineering is all about adding value to our clients’ projects. We do this by:
- Suggesting changes to parts to give better nest utilisation
- Designing parts for manufacture that suit our capabilities
- Taking down material gauges but adding design features to retain structural integrity
- Making assemblies easier to assemble
- Adding features which will stop incorrect assembly
- Substituting materials
By doing this we deliver results including:
- Reducing the costs through different engineering approaches
- Manufacturing a cost-effective product without sacrificing aesthetics, quality or structure
The recent increase in the price of steel gave us a prime opportunity to put Value Engineering into practice.
At the end of last year there was increasing volatility in the steel market and we could see by reading industry publications including ‘Steel Business Briefing’ and other specialist sources that the market was continued to move faster and faster with prices forecast to increase by 86% in the last calendar year.
How did we react? We wrote out to clients to let them know what was happening and what was being projected to happen to steel prices. We then also looked at how we could Value Engineer solutions so that our clients’ budgets weren’t compromised and they maintained their competitive advantage. That included looking at the thickness of the steel we were using / planning on using on certain projects and reducing the thickness. To ensure structural integrity we added in strentheners and stiffening ribs (we believe that every product we manufacture should combine structural integrity with creativity, quality and attention to detail).
Innovation, creativity and some good Value Engineering and our clients have been protected against the worse of the steel markets volatility. It’s what we do at JC Metalworks. To find out more about how we can add value to your products, call us ‘ 01509 233280.