I support Lou's contribution to the e-business auction discussion.
As a proponent of W. Edwards Deming's 14 points of management, I am
gratified to see there are others in the US (I think Lou is US based) who
believe in his teachings. I carry the 14 points with me on calls to
clients to provide a continuous reminder of the added
value we all hope to provide those whom we supply.
The reality is it takes more effort on behalf of the manufacturing world
that they are willing to expend to become more profitable. If we all
followed the principals.
the benefits would be proven by empirical data and increased profitability.
There appears to be little interest however.
Even though the results would be, in my view , demonstrably superior and
profitable as compared to the current paradigm, the only issue that
matters to the customer is can we built it for less v. (my view), can we
help you design it so that we can THEN build it for less.
As an advocate for co-operative engineering, I can only aspire to the
hope that more will move in this direction in order to meet the global
competive challenge.
Steve....ignore the auction.. Leave it for those unwilling to do the
work needed to build a successful product. They won't survive anyway.
Charlie McMahon
Lou Hart wrote:
>Steve, I'm reminded of #4 of Deming's 14 points. "End the practice of
>awarding business on the basis of price tag. Instead, minimize total cost.
> Move toward a single supplier for any one item, on a long-term
>relationship of loyalty and trust." Lou Hart
>
>-----Original Message-----
>From: Stephen R. Gregory [SMTP:[log in to unmask]]
>Sent: Friday, November 16, 2001 9:41 PM
>To: [log in to unmask]
>Subject: [TN] E-Business auctions for EMS providers...
>
>Hey all,
>
>Today, just learned about E-Business auctions for contracts for work in the
>EMS industry. It's been going on for a little while I guess, but I just
>learned about it today...new stuff for me...
>
>Watched how different companies were bidding for work from a OEM...I have
>mixed feelings about this. It was for work that we looked at pretty
>closely,
>priced the BOM (it's turn-key), and looked at labor pretty close. Wanted to
>be competitive, but make a fair profit...
>
>I just learned about this, and watched for a bit how things went (this was
>all real-time), companies were bidding lower and lower, fighting each
>other...making bids for the business that would cut into the profit margins
>that was originally quoted...
>
>I guess this is the future of significant orders for us EMS guys, have any
>of
>you been involved with this?
>
>What are your thoughts? Just curious?
>
>-Steve Gregory-
>
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