Page 20 - MetalForming October 2019

Tooling by Design
By Peter Ulintz
Outsourcing Metal Stamping Dies
Metal stamping companies out- source tooling and dies for many reasons. Sometimes it is a matter of the tool and die shop being short-handed or facing a backlog of orders. For others, it is a matter of reducing costs and improving customer relationships through better turn- around time and increased capacity as part of an emerging or existing business strategy.
Whatever the reason, outsourcing is not a fail-safe strategy. To avoid the many variables, companies must start with a make-or-buy study that evalu- ates their internal capabilities using answers to the following.
Design and Engineering
Does the project require you to have die designers and engineers with varied experiences? Does the project require unique process engineering skills? Does your engineering department have the full range of capabilities and design tools, including CAD, CAM and CAE tools required for the project? Does the complexity of the project require inten- sive communication with internal management, manufacturing, engi- neering and quality disciplines? Does your company have experienced proj-
Peter Ulintz has worked in the metal stamping and tool and die industry since 1978. His back- ground includes tool and die making, tool engi- neering, process design, engineering manage- ment and advanced product development. As an educator and technical
presenter, Peter speaks at PMA national seminars, regional roundtables, international conferences, and college and university programs. He also pro- vides onsite training and consultations to the met- alforming industry.
Peter Ulintz
Technical Director, PMA pulintz@pma.org
ect managers that can effectively com- municate with internal and external customers and other outside sources?
Cost, Price and Delivery
Are your fully allocated fixed and variable costs higher than outside sup- plier costs? Would your internal mar- ginal costs be lower or higher using an outside supplier? Are the overhead costs associated with your in-house processes lower? Are your labor rates lower internally? Can you purchase raw materials at a lower cost than your sup- plier? Is your inhouse operation com- petitive in delivery, service, quality and price?
“Regardless of your reason(s) to outsource, requirements include proper planning, sound execution and resolute follow-up.”
Other Considerations
Regardless of your reason(s) to out- source, requirements include proper planning, sound execution and resolute follow-up. All of these have costs asso- ciated with them. Airfare, car rentals, hotel bills and meals can add up quick- ly, especially if the project develops problems. Depending on your suppli- er’s location, in-bound freight, taxes and duties can offset any perceived savings, not to mention transportation time.
You may have projects that would not be advisable to outsource. Products or processes that are part of a core business activity or those based on intellectual property would be two examples. Customers that specifically require you to have inhouse capability and capacity would be another reason not to outsource.
Developing a Supply Base
If you do not have a supply base, establishing and developing one takes considerable time to accomplish. Pri- marily, look for companies that have experience in your specific industry. Just because someone has extensive deep drawing experience with auto- motive panels does not mean they can build tooling for a stainless steel dou- ble-basin kitchen sink or a titanium aerospace product.
Reputation and references are reli- able ways to find qualified sources. Ask for references. Find out what customers say about their quality, integrity, past performance and craftsmanship. Ask how well they handle short delivery and emergency programs. Do they have strong program managers? What types of products and tooling designs do they specialize in?
Visit their facility to determine if they have the support services you require, such as process modeling, sur- face strain analysis, CMM and inspec- tion capability and laser scanning. What about reverse-engineering capabilities? Will you need them? Are their tryout presses high quality and the appropriate size and type for your work? Do the presses have feed lines for progressive- and transfer-die tryouts?
Evaluate how well staffed their engi- neering department is and whether you will you have a dedicated program manager. Is all of the engineering done onsite or do they outsource? If so, from where? If you have a need for 3D die design, do they have such capabilities? Are services and supplies such as foundries, tool steel suppliers, heat treating, plating and coating readily available?
Look for tooling suppliers that are cooperative and proactive in address- ing problems. Insist that they be part of a team dedicated to continuously
18 MetalForming/October 2019
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