Do Not Underestimate Your Value to Customers, and Other Advice for Shops
Sharing a few of the takeaways from the recent NTMA Sales and Marketing Conference.
One of the opportunities available through the National Tooling and Machining Association (NTMA) is the chance to attend its annual Sales and Marketing Conference. Exactly as the name states, this event focuses on two vital areas in which independent machine shops routinely struggle.
The conference this year was in Pittsburgh. I attended part of it and moderated one of the sessions. If they’ll have me, I aim to attend again next year. This was a terrific event that encouraged active participation among manufacturing leaders around difficult business-related questions.
Attendees heard from speakers on topics including strategy, diversification and various end markets. Rather than summarizing the conference (not sure I could do so if I tried), let me share just a few of the points that struck me at the event and remained with me after it was over.
On leverage. NTMA President Dave Tilstone knows of various shops that have pressed for better terms with customers whose work brings poor returns, as a last measure before walking away. And they often succeed. “Do not underestimate your value to your customer,” he says. The underestimation is too common. Shops frequently have more leverage than they think.
On personnel. Whether you recognize it or not, part of your marketing is to prospective talent. As you pursue future employees, do not succumb to the widespread and unfounded dismissal of today’s young adults, says Dan Bagley, NTMA strategist. “The ‘millennial myth’ is a ridiculous demonization of young people,” he says. There are lots of young people with “moxie,” he says, who want to be part of our industry.
On strategy. Multiple speakers commented on this topic. Identifying the difference between strategy and tactics is difficult—to the extent that a list of tactics frequently stands in for strategy. One way to think about strategy is this: In a continually changing world, it is your statement of who you are going to be next. An individual’s strategy is the biography of his or her future self. An organization’s strategy is much the same thing.
On delegating. The attention of the leader is a vital resource in any small company. Do not squander this. “Hire people who can take things off your plate,” said Randy Altschuler, CEO and co-founder of Xometry, in a presentation drawing on his experience. Specific to marketing, he added these points of advice: (1) Know your website is very important; (2) create content appealing to customers you want to reach; and (3) understand what prices your competitors are charging.
On prototyping. This is the pain point for shops, or at least one of the major ones. In the session I moderated, various machine shop leaders pointed to this as a challenge they face in expanding business. Namely: How does a shop overcome the difficulty of prospects that demand prototyping first but never come through with the full production? How does the shop avoid getting distracted and suffering losses from too much of this work? Part of the answer might prove to be 3D printing. In any case, if this is a challenge your shop faces, you are not alone.
Related Content
How to Pass the Job Interview as an Employer
Job interviews are a two-way street. Follow these tips to make a good impression on your potential future workforce.
Read MoreFinally, A Comprehensive Software Solution Designed for Small Job Shops
Zel X from Siemens is an integrated software application that consolidates collaboration, design, manufacturing, and operations into a comprehensive, easy-to-use solution. From RFQ to delivery, it’s a more efficient way to handle quotes, manage jobs, make parts, and collaborate with teams of all sizes.
Read MoreFinding Skilled Labor Through Partnerships and Benefits
To combat the skilled labor shortage, this Top Shops honoree turned to partnerships and unique benefits to attract talented workers.
Read MoreHow I Made It: Amy Skrzypczak, CNC Machinist, Westminster Tool
At just 28 years old, Amy Skrzypczak is already logging her ninth year as a CNC machinist. While during high school Skrzypczak may not have guessed that she’d soon be running an electrical discharge machining (EDM) department, after attending her local community college she found a home among the “misfits” at Westminster Tool. Today, she oversees the company’s wire EDM operations and feels grateful to have avoided more well-worn career paths.
Read MoreRead Next
Increasing Productivity with Digitalization and AI
Job shops are implementing automation and digitalization into workflows to eliminate set up time and increase repeatability in production.
Read MoreInside Machineosaurus: Unique Job Shop with Dinosaur-Named CNC Machines, Four-Day Workweek & High-Precision Machining
Take a tour of Machineosaurus, a Massachusetts machine shop where every CNC machine is named after a dinosaur!
Read MoreThe Future of High Feed Milling in Modern Manufacturing
Achieve higher metal removal rates and enhanced predictability with ISCAR’s advanced high-feed milling tools — optimized for today’s competitive global market.
Read More