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Estimating and Its Foundations

Estimating and Its Foundations

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Estimating and Its Foundations

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  1. Estimating and Its Foundations Stephen R. Whittaker Adjunct Professor, RIT CIAS/SPM Vice President, Quality Assurance Monroe Litho Rochester, NY American Society for Quality Certified Manager of Quality/Organizational Excellence Certified Quality Auditor Senior Member

  2. Introduction • What is “Printing/Imaging Estimating” ? • Let’s share some thoughts about this discipline...

  3. The Role and Scope of Estimating • Generic to any process • Digital Imaging • Offset Lithography • Gravure • Flexography • Screen Applications • Letterpress • Technical Hybrids

  4. All Inclusive Hourly Cost Rates • Standard NAPL 20 section template • Direct, Indirect, fixed and variable costs • Operating efficiencies • Costing model based upon utilization

  5. Production Standards • Constant updating • Number of units produced under a specific set of defined conditions

  6. Purchasing Policies and Practices • Paper and raw materials • Outside services • Quality initiatives • Cycle Time and Accuracy of information • “Hidden Costs”

  7. “Goof Proofing” In Planning • Need to ensure that a job is planned the most economic way • Utilize consistent data base “lookup” tools • Need to teach and coach throughout manufacturing to ensure conformance

  8. The “Nuts and Bolts” of a Good Estimate: • Impositions • Paper • Pre-Media • Ink/coating • Presswork • Print Finishing • Pack, Ship, Deliver

  9. Teaching the “Blocks of Logic” • Module approach • Work through the “stumbling blocks” • American paper system • Pre-media workflow

  10. Computer Assisted Estimating Practices • “Hidden” software gems that cause chaos… • Standards • Rates • Calculations • No opportunities to “field test” software before purchasing! • Buyer…beware!

  11. Market Pricing Policies and Practices • Constant vigilance for “testing the water” in response to economic conditions • Remove all of the excuses for Sales Associates… • Data collection/win-loss information • Estimating Management tools [number of quotes by client]

  12. Preparing and Submitting an Estimate • Terms and Conditions…changing. • Uniform Commercial Code simple guidelines • Have the correct specifications been included on the quote? • If accepted, is there a purchase order sent back to your plant? • Have you ever tried to collect/get paid for a job that has no PO

  13. To Summarize… • We need to have our arms wrapped tightly around this discipline • It’w the difference between profit/loss • Senior Management in the US Graphic Communications Industry needs to pay more attention to this discipline • Never stop training and educating… • It often keeps the doors open! • Thanks very Kindly!