Talk manufacturing economics with Sandvik Coromant

Bridging the gap with manufacturing economics
Manufacturing companies all over the world face the same problem – the widening gap between what the market is willing to pay and the cost of production. Bridging this gap is the only way to stay competitive and – ultimately – to stay in business.



You know your market – we know production
Manufacturing economics lies at the cross section between your market knowledge and our production knowledge. Together we will optimize production – getting the right tools doing the right things. By utilizing your production resources better you will lower your fixed costs, so you can invest in your existing production and ultimately, allowing you to be competitive, both in mature and emerging markets.

And by doing things right from the start – optimizing manufacturing processes in new machines – youŽll get faster return on investment and higher profitability down the line. Many times, optimization of existing processes or in an investment phase, can give you 10 to 15 percent lower costs or higher efficiency in your production – a good starting point for bridging the gap.

Optimize or maximize – two ways forward
In a changing market there is one way forward but two roads to get there. Either you optimize your existing process or you maximize the impact of an investment in new machinery.

So, how much is 15 percent of your total production cost? This is probably a sum worth discussing with us. Make sure you’re setting the rules for your own profitability.
The $15 billion story ...
See the movie about manufacturing economics
Read more about:
How to optimize your existing process
Machine investments
For further information:
Please contact your nearest Sandvik Coromant sales office




Productivity gap
Cost development

Price development
When studying the development of consumer price index and producers price index in OECD countries, it indicates that there is an imbalance between price and cost development.

This situation has created a productivity gap that presents a challenge to many companies.


© Sandvik CoromantLatest update: 03/05/2008 12:47:43 PM

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